Taxation Advice Service for Solicitors and Accountants
TaxTalk provides tax advice for other professionals who do not have tax expertise in house. We can take on ad hoc assignments or become involved in the project. Solicitors and accountants are not always used to dealing with Revenue on very technical areas of tax and they may require a second opinion on the tax treatment of specific tax items. We deal with the Irish Tax Authorities on a day to day basis and have built up useful contacts that can assist us as tax agents. A for accounts purposes, or during an audit.
Revenue Tax Audits
We deal with many tax audits every month of the year for many different types of businesses, this broad experience allows us to compare different cases and set precedents for other audits so that there is a consistent approach across all audits.
Revenue audits follow specific tax law and codes of practice and dealing with them requires specialist knowledge and practical experience. For example making a voluntary disclosure in the correct format and by a certain time will reduce the tax penalties and interest to be paid and will reduce the risk of a tax defaulters name from being published.
Non tax professionals may not be familiar with Revenue’s Audit code of practice in this area. If the disclosure is not presented correctly, the taxpayer will pay more tax during the audit and have its name published in Irish Oifigual as a tax defaulter, this should be avoided.
Tax Planning for Life Events
We recommend that individuals review their tax exposure at every major life events such as marriage, death, ill health, redundancy, retirement, starting a business, selling and buying assets and investing.
Financial advisors often deal with tax issues at a high level, but a detailed tax plan may be required for high value transactions. For example buying, selling and gifting of property/business/farm, to third parties or siblings.
Planning for the tax cost of inheritance or asset transfers can save thousands in tax, which might allow the transferee to keep the asset or gift instead of having to sell the asset to pay the tax bill.
For example solicitors may find themselves dealing with inheritance and succession tax liabilities from wills passing on assets, these tax liabilities can often be avoided in certain circumstances, an independant specialist tax opinion should always be requested if there are significant amounts of tax.
Tax Accounting Self Assessment
Tax accounting and compliance
The tax charge in the annual financial statements may require an independent tax review to ensure that the tax treatment of certain items is up to date and so that tax is not under or over stated.
In Ireland self assessment of tax liabilities applies to all tax payers, the accountants and company directors signing the accounts are verifying that the tax charge is correct by signing the accounts. However there may be significant changes or tax liabilities which increase the potential for future tax liabilities which should be checked if in doubt.
For example often there are new or high value tax calculations that need to be verified under self-assessment where R&D tax credit relief, foreign tax credit, double tax treaty, CGT participation relief on share disposals are being claimed, and neither the accountants or the directors are familiar with Revenue practice in this area. A second opinion provides comfort and protection to all.