About AMS

1. What is included?

External professional fees incurred (up to the ‘Shared Level’ selected) to manage any audit initiated by the ATO on a previously lodged return, that arises during the ‘Period’. You’ will be liable for any professional fees incurred over the ‘Shared Level’ selected. The ‘Period’ is the 12 month period from the date Audit Services Pty Ltd receives this ‘Application Form’ and payment of the ‘AMS Fee’ in our office. At the end of 12 months, Audit Services Pty Ltd will invite renewal of this service. ‘You’ means all names listed on the Application Form.

2. What is excluded?

Where (1) a return has been prepared or lodged recklessly or fraudulently; (2) a return is lodged more than 2 months outside the prescribed date; (3) you or your adviser(s) are aware of circumstances that would likely lead to an audit occurring prior to you subscribing; (4) any verbal or written advice or notice of a pending audit has already been received by you or your adviser(s); (5) an audit to substantiate a refund of tax, unless part of a broader audit of a lodged return; (6) any activity that involves the maintenance of any operating licenses, memberships, registrations, workplace practices, regulatory or industry processes and the like; (7) education, training, implementation etc., due to a change in government or industry policies, regulations and by-laws; (8) an audit relates to the deduction, rebate or claim for tax relief arising out of a mass marketed product or scheme unless the product or scheme has received prior written approval from the ATO; (9) any amended assessments, fines, penalties or the like are imposed by the ATO; (10) any fine or penalty exceeds 25%, the amount of professional fees being claimed can be reduced depending on the circumstances outlined in the final letter from the ATO; (11) professional fees are incurred for any legal proceedings taken against you or initiated by you; (12) any costs incurred to re-establish any records or documents that should have been retained in accordance with ATO guidelines; and (13) you have entered into any form of bankruptcy, administration, receivership, liquidation, insolvency (voluntary or otherwise), winding up or a similar process.

3. Important notices

• Your AMS subscription is valid from the date this Application Form and payment of the AMS Fee is received by Audit Services Pty Ltd.
• AMS is focused on random type audits. If you or your adviser(s) are aware of any circumstances that will likely lead to your return(s) being audited or you or your adviser(s) have already been advised of an audit, these events are not covered. Any subsequent audits, not relating to existing audits, will be covered.
• You must complete a ‘Claim Form’ available at this website (or by contacting us) and submit the ‘Claim Form’ to us, along with a copy of the written audit notice advice from the ATO within 20 business days of receiving such notice.
• You can not engage any professional assistance prior to our receiving the ‘Claim Form’ and our giving you or your nominated adviser(s), instructions. Any professional fees incurred prior to our giving you or your adviser instructions will be your cost.
• Any professional fees incurred will only be paid after our receipt of required documents including the final letter from the ATO.
• It’s important to ensure that any professional fees incurred are fair and reasonable for the required audit assistance as the ‘Professional Fee Limit’ you will select, as part of the ‘Sign On’ process, is the annual limit available to cover one or more audits that may arise during the 12 month subscription period.
• Above all else, it’s important that you act in a prudent manner when completing and lodging returns with the ATO; that you or your advisors lodge returns no later than 2 months after the prescribed date, so as to avoid being deliberately selected for an audit; with respect to various returns lodged, you only declare or claim what you are entitled to declare or claim and have supporting documents to substantiate such declarations and claims; and that you retain records in a manner and for periods stipulated by the ATO. Costs to recreate records or assemble records in a manner suitable for an audit are not covered.
• AMS is supported by insurance policies held by Audit Services Pty Ltd with QBE Insurance (Australia) Pty Ltd.