Accounting Articles > Illinois Sales and Use Tax Audit:
What if I don't have all of my source documents?
You can always get a copy of bank statements, canceled checks, and deposit tickets from the bank. It may be quite expensive, but it is possible. You can even get copies of your old tax returns from The Illinois Department of Revenue.
Proper documentation can be a real pain, but it is your only salvation in the event of an audit. Getting a copy of source documents after the fact may or may not be possible. Getting copies of Exemption Certificates or Resale Certificates proving that a transaction was non-taxable, however, can be difficult. If you don't have all of your source documents, it's a strong indication that your accountants aren't taking your needs seriously. This should never have been allowed.
What about your Sales?
If you haven't kept copies of all your Sales and Purchase Invoices, how can you prove which were tangible and which were intangible?
In today's electronic world, we don't always get invoices and proper documentation. But tax law is primarily about intent. If we can prove that you kept all the documentation that you received, it will generally go a very long way towards proving that there was no intent, and therefore no culpability. But if there is a way to get the documentation, you have a responsibility as the owner or President of an organization to keep proper records.
If you don't have your documentation, you'd better go find it, or decent representation.
Unsatisfied with your current accountant? We can get you back on track.
Call us for a free consultation: (773) 267-7500