Last year, we received a letter for the State indicating that we would have a Sales Tax Audits. The auditor indicated that they needed to review the past four years of records.
This was the first audit that I’ve been involved in, so naturally, I was totally nervous about the ordeal. After meeting with the Auditor to understand the procedures that were involved, it actually wasn’t too scary. It was, on the other hand, very time consuming, especially when I really didn’t have the time to spare with my daily work load.
The audit was very educational to me. It helped me to understand the reason why receipts are important to keep for all of the charges that was/are made by our employees.
So, the company’s resolution this year should be to save all receipts and enter purchase orders for everything we buy in a timely manner.