One of the most common reasons for additional tax assessments is the disallowance of expenses due to missing or inadequate documentation. The existence of a cost alone does not make it tax deductible.
During audits, FURS primarily checks whether there is a clear and traceable link between the expense and the business transaction.
What qualifies as proper documentation?
Proper documentation must:
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clearly demonstrate the purpose of the expense,
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be directly related to business activities,
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ensure full traceability,
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be properly archived.
Most common mistakes in practice
Frequently identified issues include:
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invoices without sufficient descriptions,
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missing supporting documents,
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private expenses recorded as business costs,
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documents not aligned with the timing of transactions.
➡️ Important: An expense without evidence effectively does not exist for tax purposes.
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