Rules for conducting inspections by state bodies
In Kazakhstan, organizations, depending on the degree of risk, are inspected at different intervals: from once every six months, a year, three years or 5 years. Law firm KORGAN provides legal support and protection of organizations during inspections by state bodies, having, at the same time, considerable practical experience and a large amount of theoretical knowledge that is useful for every organization to know.
Inspections by type are divided into those carried out in a special order – based on an assessment of the degree of risk in relation to a specific subject / object being inspected (the Prosecutor General’s Office forms a schedule for conducting business inspections in a special order twice a year); unscheduled – on specific facts and circumstances that served as the basis for the appointment of an audit in relation to a particular audited subject / object.
Before coming to the organization for an inspection, the control and supervision body is obliged to notify your organization in writing of the start of the conduct at least thirty calendar days before the start of the inspection in accordance with a special procedure for conducting inspections, indicating the start date of the inspection and the subject of the inspection. In exceptional cases stipulated in the Entrepreneurial Code, inspectors can notify a day in advance of the start of the inspection.
Having already arrived at the facility, the authorized inspection body (persons) is obliged to present to the inspected subject (object):
- an act on the appointment of an inspection with a stamp on registration with the Office of the Committee on Legal Statistics and Special Accounts of your region (city);
- service ID;
- checklist.
The participation of a lawyer from the KORGAN law firm during the audit makes it possible to check the authority of the inspectors and the purpose of their visit, which means narrowing the scope of the audit or stopping it altogether.
In addition, representatives of state bodies often abuse their powers, taking advantage of the ignorance of the employees of the organization, the participation of a lawyer allows timely prevention of illegal actions of inspectors, and therefore reduces the risk of being held accountable.
Thus, legal support of verification activities by authorities is necessary for any field of activity.
The act on the appointment of the inspection shall indicate:
1) number and date of the act;
2) the name of the state body;
3) last name, first name, patronymic (if it is indicated in the identity document) and position of the person (persons) authorized to conduct the inspection;
4) information about specialists, consultants and experts involved in the audit;
5) the name of the subject of control and supervision or last name, first name, patronymic (if it is indicated in the identity document) of the individual in respect of which the inspection is scheduled, his location, identification number, list of objects of control and supervision, area of the territory.
In the event of an inspection of a branch and (or) representative office of a legal entity, the act on the appointment of an inspection shall indicate its name and location;
6) the subject of the scheduled inspection;
7) the term for the inspection;
8) legal grounds for conducting an audit, including regulatory legal acts, the mandatory requirements of which are subject to verification;
9) period under review;
10) the rights and obligations of the subject of control and supervision, provided for in Article 155 of this Code;
11) the signature of the person authorized to sign the acts and the seal of the state body;
12) the signature of the head of the legal entity or his authorized person, an individual on receipt or refusal to receive an act on the appointment of an inspection.
The timing of the inspection and preventive control and supervision with a visit to the subject (object) of control and supervision should not exceed:
1) for micro-entrepreneurship entities – no more than 5 working days and with an extension of up to 5 working days;
2) for subjects of small, medium and large businesses, as well as subjects of control and supervision that are not subjects of private entrepreneurship:
when conducting unscheduled inspections – no more than 10 working days and with an extension of up to 10 working days;
when conducting inspections carried out according to a special procedure, and preventive control and supervision with a visit to the subject (object) of control and supervision – no more than 15 working days and with an extension of up to 15 working days;
3) in the field of veterinary medicine, quarantine and plant protection, seed production, grain and cotton markets – no more than 5 working days and with an extension of up to 5 working days;
4) in the field of compliance with the labor legislation of the Republic of Kazakhstan in terms of safety and labor protection at construction sites, taking into account their technical complexity:
relating to technically complex objects – no more than 5 working days and with an extension of up to 5 working days;
not related to technically complex objects – no more than 4 hours of a working day and with an extension of up to 8 hours of a working day (Article 148 of the PC of the RK).
Inspectors who are not specified in the act on the appointment of an inspection do not have the right to conduct an inspection or be present during the inspection.
The beginning of the audit is the date of delivery of the act on the appointment of the audit and the checklist.
You can check the registration of the check in the Qamqor mobile application or by contacting the “Legality of Checking Your Business” section of the Information Service of the Committee on Legal Statistics and Special Accounts of the General Prosecutor’s Office of the Republic of Kazakhstan.
At the end of the check, the inspectors draw up an act on the results of the check in 2 copies, one of which is handed to you. If there are comments or objections, you can state them in writing, which are attached to the act.
During the check, the checked subject/object has the right to:
– do not provide information if they do not relate to the subject of the audit or do not relate to the period specified in the act;
– fix the verification process using audio and video equipment, without creating obstacles to the activities of an official;
– appeal against the order and (or) act on the appointment, on the results of the audit, as well as the actions of the inspector to a higher state body, or to the court;
– do not comply with the prohibitions of inspectors that are unreasonable in law and restrict your activities (for example, the requirement to suspend activities without any grounds – a judicial act);
– to be present during the audit, as well as to involve third parties in participation in the audit in order to represent their interests and rights.
An audit is declared invalid if it was carried out with gross violations of the requirements of the Entrepreneurial Code, including:
– lack of grounds for conducting an audit;
– the absence of an act on the appointment of an inspection;
– non-compliance with the deadlines for notification of the inspection;
– Violation of the frequency of inspections according to a special procedure and selective inspections;
– non-submission to the audited subject of the act on the appointment of the audit;
– appointment of inspections on issues not within their competence;
– conducting an audit without registering an act on the appointment of an audit in the bodies for legal statistics and special records;
– Violation of the timing of inspections.
TAX CHECKS
A tax audit is carried out on the basis of an order that must contain the following information:
1) the date and number of registration of the prescription with the tax authority;
2) the name of the tax authority that issued the order;
3) last name, first name and patronymic (if it is indicated in the identity document) or the full name of the taxpayer (tax agent);
4) identification number;
5) the form and type of verification;
6) last names, first names, patronymics (if it is indicated in the identity document) of the inspectors, as well as specialists involved in the conduct of a tax audit in accordance with this Code;
7) the term for conducting a tax audit;
8) the period under review, with the exception of the timing examination.
The organization (its employees), upon presentation by officials of the tax authority of an order and service certificates, is obliged to ensure access of these officials and officials of other state bodies involved in the conduct of a tax audit to the territory and (or) to the premises (except residential premises) of the organization .
An organization has the right to refuse officials of tax authorities access to the premises of an organization if:
1) officials have not presented an order and (or) service certificates;
2) officials are not specified in the order.
The main thing to know and remember is that the existence of an Order to conduct a tax audit and / or an Act on the appointment of an audit is not an unconditionally legal basis for conducting an audit.
These are the main points that entrepreneurs should know if officials came to them or intend to come with an audit, but if you are afraid to participate in the audit on your own, you can contact the lawyers of the law firm KORGAN for help at any time!