Warning
Info
Warning
Info
Simple English definitions for legal terms
field audit
Read a random definition: sound
A quick definition of field audit:
A field audit is when someone from the government comes to a business or a person's office to check their financial records and make sure they are following the rules. It's like a big check-up to make sure everything is okay.
A more thorough explanation:
A field audit is a type of audit conducted by the Internal Revenue Service (IRS) at the taxpayer's business premises or lawyer's offices. It is a formal examination of an individual's or organization's accounting records, financial situation, or compliance with some other set of standards.
- An IRS agent visits a small business to review their financial records and ensure they are complying with tax laws.
- A team of auditors visits a large corporation to examine their accounting practices and financial statements.
These examples illustrate how a field audit involves a physical visit to the taxpayer's location to review their financial records and ensure compliance with tax laws or other standards.