Electronic bookkeeping requirements and development by the tax authorities of computer-based auditing methods carry with them obligations with which companies must comply. Economic operators are required to submit their accounting documentation in electronic format, meet requirements for electronic bookkeeping, use management, accounting and point-of-sale software that complies with fiscal regulations, adopt compliant electronic invoicing solutions, and prove for VAT purposes that they fulfil the conditions for raising and retaining invoices (in electronic or hard copy), particularly by putting in place robust audit trails.
There are heavy sanctions for non-compliance with these fiscal IT requirements, and these sanctions are likely to result in your company accounts not being accepted.
Required to reconcile their tax responsibilities with their IT ones, companies are often overwhelmed when confronted with their obligations, the tax authorities’ investigation techniques and the conditions under which computerised tax audits are carried out.
Our specialist taxation IT lawyers are in a position to provide you with advice and guidance in the area of prevention, and will also support you during computerised tax audits and any resulting litigation.
Given the variety of issues at stake, our approach combines the technical skills of our tax IT team with the legal expertise of our specialist lawyers. We also work in close collaboration with your company’s financial decision makers and IT technicians to ensure that any potential problems are identified. Our task is to assess the extent to which your tax IT system complies with the regulations in force for tax audits of computerised accounts and legal archiving; to survey and analyse the tax risks; to implement a realistic and effective action plan to bring your IT system up to standard; to set priorities for completion depending on the seriousness of the risk; to set out an efficient fiscal strategy in the event of a tax audit of your computerised accounts; to conduct a mock tax audit using the same IT tools used by the tax authorities (ACL software) and to make a list of the demands the tax authorities are likely to make if they audit you.
Based on its solid reputation, our team assists you, with the help of your privileged contact at our Firm, in preventive reviews as well as in tax IT audits monitored by the French Tax Authorities.
More specifically, we advise and help you in all matters regarding IT systems such as : the accounting entry files (FEC) development and testing, and assistance in the correction of data anomalies or errors, the compliance of your electronic invoicing system and its implementation, test or / and reliability control of your internal audit trail according to VAT rules and the compliance with the requirements linked to the data storage, processing documentation, dematerialized supporting documents, the assistance and the execution of French Tax Authorities requests (implementation of computerized process as defined in Article L 47 A II of the French tax proceedings code - “Livre des procédures fiscales”) in case of computerised accounting audits.