Different Roles with the Tax Office - Akatsuka Certified Public Accounting Office

Different Roles with the Tax Office - Akatsuka Certified Public Accounting Office

The purpose and role of a CPA's audit and a tax office's investigation are different. The purpose of a tax office audit is to confirm proper payment of taxes and focuses on verifying taxable income and deductions. On the other hand, audits by CPAs verify that financial statements are accurate and properly prepared, providing reliable information to shareholders and investors. While the tax office examines specific transactions in accordance with tax laws, the CPA systematically examines the financial information of the entire enterprise. CPAs also play a role in helping to improve management efficiency and transparency by providing suggestions for improvement from an independent standpoint. Thus, it is important to understand the difference between the two and properly utilize the characteristics of each.