Audit Insurance Letters
As part of our service offering to clients, Stanton Mienert has recently taken out an audit insurance policy with Audit Shield (underwritten by AAI Limited).
The policy is held in the name of our practice. Participation in the cover is not automatic. Letters of offer to participate in Audit Shield cover are being sent to all clients in the next couple of weeks. There is no compulsion to participate in the cover.
The letter to participate also includes explanatory material listing full details of the cover. We note the cover is retrospective and includes all of your group entities excluding self-managed superannuation funds (SMSFs require separate cover).
Given an industry wide increase in the amount of federal and state audit activity, we strongly recommend all business clients hold adequate audit insurance.
Via way of a recent example, a client received a retrospective GST audit that covered multiple financial years. This audit was conducted over a period lasting 14 months and cost the client $25K for our services. A $1615 Audit Shield policy would have covered the cost of the audit in full.
Should you have any questions in relation to the letters to participate please contact our office at Stanton Mienert.