What to Do If You Receive a Tax Audit Request

This article explains how to handle tax audits from EU tax offices, why they happen, what to expect, and how hellotax can support you through the process.

🔍 Why Was I Selected for an Audit?

EU tax authorities may initiate audits for several reasons. In some countries, audits are conducted routinely. In others, companies may be randomly selected or flagged due to specific activity.

Common triggers for an audit include:

• Differences between EC Sales Lists and VAT returns

• Non-filing or late filing of VAT returns

• Unpaid VAT liabilities

• Data discrepancies flagged through inter-EU tax office communication

• Large refunds requested via amended returns

• Frequent or significant return amendments across multiple periods

Tax offices do not typically disclose the exact reason for an audit.

✅ What Should I Do if I’m Audited?

In many cases, audits are straightforward and only require basic documentation. However, some audits can be more complex and time-consuming.

You have two options:

• Handle the audit yourself (for EU-established businesses)

• Engage a VAT professional, like hellotax, to manage the process on your behalf

⚠️ For non-EU companies using a fiscal representative, audits must be handled by the fiscal representative. Direct contact with the tax office is not permitted.

💶 hellotax Audit Support: Costs and Timelines

hellotax offers expert audit assistance across all countries we support.

Pricing:

• €250 per hour

• First 2 hours billed upfront to begin the engagement

• Additional hours invoiced after the audit is completed

• If more than 10 hours are required, a mid-process payment may be requested

Typical duration:

• Most audit assistance involves 4–15 hours, though some may resolve faster or take longer

• Tax authorities may take several months to conclude an audit, even if all data is submitted on time

📄 What Documents Might Be Required?

Tax offices usually request documentation for a specific VAT period. This can include:

• Purchase orders and supplier payment proof

• Logistics and transport documents

• Warehouse/storage details

• Inventory lists

• Company setup info (directors, registered office, filed accounts)

• Marketplace/channel data (e.g., Amazon, eBay)

• Original customs/import documents

The goal is to demonstrate the full supply chain: from purchase, through storage, to customer delivery and payment.

Please provide files in a clear and organized format. Your bookkeeper or accountant should be able to locate and prepare these documents.

⏳ What If I Can’t Meet the Deadline?

If you're unable to meet the deadline provided by the tax office:

• Contact the tax office before the deadline to request an extension

• Most authorities are understanding and will provide a new submission deadline

📌 Summary

Audits are a normal part of doing business in the EU — most companies will experience one every few years.
Getting professional support from hellotax can help reduce stress, ensure proper compliance, and often lead to a faster resolution.

Need help with an audit?
Speak to your account manager to get started with audit support.