A Few Of The Typical Questions The Examiner Will Ask You Regarding Your Sales...
- What types of transactions did you have for the year under examination?
- Do you sell warranty programs?
- Do you sell finance contracts? Who do you sell them to?
- Do you keep a personal record or list of your profits on each vehicle or deal?
- Do you have a dealer reserve account at any financial institution?
- Did you sell any vehicles to other dealers?
- Did you sell any vehicles at auction?
- Did you have any third party financing sales?
- Did you have any scrap sales?
- Did you have any consignment sales?
- Did you have an in-house dealer financing sales?
You will learn ALL the questions that will be asked regarding your sales transactions when you read Uncle Sam's Tax Audit Assistant for the Independent Used Car Dealer. This Is The ACTUAL Manual Used To Train IRS Audit Agents For Auditing Independent Used Car Dealer.
GUARANTEED to be chock-full of ALL of the information you need to survive an audit from the IRS in an easy to understand format!
Is your record-keeping up to standards...IRS standards?
- How often do you reconcile deposits to income? You will identify the specific bank accounts that sale are deposited in to.
- How are customer deposits recorded when the sale is finalized?
- Give specific examples of when sales have not been deposited.
- Do you have any business expenses in which you pay cash? You will be required to provide specific examples and show how they are documented.
- Do you have an outside accountant/bookkeeper record your sales? If so, explain in detail what records you provide.
- Do you disregard your minimum gross profit to consummate a sale?
- Can you show how cash sales transactions are recorded? Has there ever been a time when they were not recorded in this manner?
- Are sales taxes reported in the gross sales price?
- Are licensing fees or titling fees included in the sales price?
- Are customer deposits recorded on the books when they are received?
