Audit Support

Audit of a taxpayer or trader can essentially be defined as the process of establishing whether the information reported to the authorities reflects the reality of the taxpayer’s financial affairs and, if not, making the necessary adjustments so that the basis on which the taxpayer is taxed is correct. Consequently a successful audit support application must be able to access all relevant data (including detailed transaction level data held by the taxpayers or traders) and provide a full range of functionality for analyzing and reconciling the data and supporting all the ancillary tasks that the auditor performs during, or in direct connection with, an audit. In essence an audit support application should be like a well-equipped toolbox - enabling the auditor to select precisely the tools needed, when needed.
An important feature of ESKORT Audit Support is its support for the organization and administration of the case data - through the vehicle of the electronic case file. The case file is initialized with available taxpayer data at the time that the audit is initiated. Thereafter it is continually updated with data collected during the audit (which can either be scanned, keyed-in or imported directly from the taxpayer's accounting system) and data generated as part of the audit process.

Other key features offered by the system include:

  • Support for audit planning - where an audit plan can be formed as a combination of standard audit plans (which are configured in the system by the user organization itself), suggestions generated by the ESKORT Selection System, suggestions generated by the knowledge-based component of the system and, not least, the auditor’s own ideas;
  • simple analytical support - such as support for various financial ratio calculations and reconciliation across different tax types, data sets and data sources;
  • complex analytical support - such as the knowledge-based analysis (optional) of reconciliation differences, financial ratio fluctuations (with respect to time) and variations (from industry or geographic averages);
  • support for calculation and documented correction of all relevant taxes, and support for the calculation of fines and interest;
  • support for the preparation of audit reports and other relevant documentation;
  • configurable access to, and data download from, both ‘external’ taxpayer databases and third party data;
  • configurable access to relevant supporting material, such as checklists, guidelines, laws and regulations, legal precedents, internal instructions and training material, with hyperlink connectivity between the different types of material;
  • incorporation of standard productivity software into the user architecture of the application in such a way that the full functionality of these modules is available from within the system as a natural extension of the application itself. This enables continued use of the standard departmental templates already developed in these environments;
  • optional knowledge-based support, for complex analytical tasks such as selection of audit period, determination of inconsistencies in the case data and establishment of the most beneficial audit actions in various situations;
  • optional support for business systems analysis - in addition to supporting extensive financial analyses of the taxpayer's accounting data, the system can support the analysis of the taxpayer's business procedures and internal controls in order to identify potential sources of weakness or error;
  • optional support for the analysis of accounts at transaction level (i.e. computer audit) which is provided by the ESKORT Computer Audit system (either as an integrated component within ESKORT Audit Support or standalone);
  • optional support for statistical sampling – allowing selection of a statistically representative subset of the taxpayers data and projection of the findings for that subset to the whole population as a whole.

Benefits

The key benefits of the ESKORT Audit Support System include:

  • ability to flexibly support a variety of different tax types and legislative regimes due to extreme configurability of all aspects of the application;
  • unparalleled support for the auditor in performing a thorough audit in a timely fashion with a high degree of proficiency – due amongst other things to the electronic availability of all relevant taxpayer data and support information, powerful data browsing capabilities and easy-to-use coverage of all main audit activities (relating to planning, structuring, documenting and quality assuring the audit) in a single application;
  • powerful data collection and distribution capabilities – leading to reduction in data-keying requirements and associated errors, reduced time for, and control of, case distribution, savings of costs associated with paper, copying, microfilm/fiche, postage, etc.;
  • comprehensive support for new and inexperienced auditors throughout the audit process, contributing to an enhanced level of confidence throughout the audit and enabling achievement of proficiency in a much shorter period of time;
  • documentation of the entire audit process, enabling easy reconstruction of the case in the event of the need to resuscitate the audit at a later stage (e.g. in an appeals situation).

For more information please read read the fact sheet below.

ESKORT Audit Support 2012
ESKORT Audit Support 2012 297 KB