Full Attestation
In a full attestation audit, the company’s documents and financial statements are reviewed to ensure that the transactions, earnings, or losses are in line with the prepared tax return and are accurate and appropriate from a tax perspective. The full attestation report, prepared as a result of the audit, assures the State that the company's corporate tax return complies with tax legislation. The purpose of regular audits conducted throughout the year is to identify and eliminate potential tax risks before a possible tax audit. Additionally, consultancy services are provided on the application of incentives and deductions stipulated in the law during these audits. Although it is not legally mandatory to obtain a full attestation service, it proves to be highly advantageous for many businesses.
Benefits of Full Attestation:
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Significantly Reduces Tax Risks: Regular audits help in identifying and mitigating potential tax risks, providing peace of mind for the company.
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Tax Incentives and Planning: Ensures the company benefits from tax incentives and proper tax planning, optimizing their tax liability.
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Recognized Financial Statements: Financial statements and tax returns certified by Sworn-in Certified Public Accountants (YMM) are accepted as audited documents by tax inspection officers.
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Priority in Tax Audits: Unless there are specific notifications or special circumstances, these firms are not prioritized for tax audits, as stipulated in the legislation.
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No Additional Reports Needed: For the certification of investment and R&D deductions, and other exemptions, there is no need for an additional report for these firms.
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Unlimited VAT Refunds: These firms can receive VAT refunds with no limit, provided they submit a YMM certification report.
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Exemption from Mandatory Contracts: These firms are exempt from the requirement to sign a mandatory CPA contract.
By opting for full attestation services, businesses can not only enhance their compliance and reduce potential tax risks but also take full advantage of available tax incentives and refunds, ultimately supporting their financial health and growth.
The full attestation service is generally provided specifically for corporate tax. In other words, the fiscal responsibility of a sworn in CPA (YMM) who signs a full certification contract is limited to provisional and annual tax returns. However, it is not feasible to consider VAT and withholding tax returns as independent from the provisional and annual corporate tax returns. It should be noted that documents included in VAT and withholding tax returns reflect income, expenses, costs, or capitalized assets. Therefore, a quality full attestation service should be performed on a monthly basis. Inspections conducted every three months instead of monthly are often insufficient.
Clients receiving full attestation services are also provided with general tax consultancy services. The most significant difference between general tax consultancy and full attestation services is the fiscal responsibility of the sworn in CPA before the tax office. Full attestation services include fiscal responsibility.