Audit Shield

You may have recently received a notification from us regarding “Audit Shield” coverage. These emails are sent to you on our behalf, by “Accountancy Insurance.”

What is it?
Audit Shield is a service which provides coverage for our professional fees which may be incurred if you are subject to an audit from the ATO or other relevant government authorities (such as the state revenue office). The expenses which are associated with an audit include the work required by us to defend your tax position to these authorities.

Defending a client going through the process of an audit can include inquiries, investigations and reviews. This work can become complex and take a considerable amount of time. For this reason, we offer our Audit Shield service which covers those costs (up to predetermined limits).

Why does it matter?
If you don’t have the coverage, the cost to you could be considerable. With increased scrutiny from the ATO on lodged tax returns, there are more audits taking place than ever before.
Why am I receiving audit shield invoices for my business or SMSF which is now closed?
You can be audited on a tax return which was lodged up to three or four years ago. Being covered retrospectively is automatically accounted for in your fee. You will not be charged extra.

Do you need it?
Audit Shield is an optional service. What’s important to note is that Audit Shield is not just relevant to business owners or SMSFs. You could be audited as an individual taxpayer if you have rental properties, cryptocurrency assets, or excessive work-related deductions.

How do I purchase/renew my Audit Shield?
You should have received an email by now with a “client acceptance form” and a unique link to Audit Shield’s automated payment portal. Coverage commences one business day after payment is received.

If you have any questions about Audit Shield and the ATO’s audit process, please feel free to contact us.