Methods and systems for managing tax audit information

• US 7,295,998 B2
• Filed: 01/31/2002
• Issued: 11/13/2007
• Est. Priority Date: 01/31/2002
• Status: Active Grant

• Current Assignee: General Electric Company
• Original Assignee: General Electric Company
• Inventors: Vigliano, Carol Sue, Hinds, Jason Robert, Ryan, John Joseph, Kulkarni, Ravindra Raghunath Rao, Byrd, Susan Elaine, Harlacher, Thomas Forrest
• Primary Examiner(s): Zeender; F.
• Assistant Examiner(s): Buchanan; Christopher
• Application Number:
  US10/062,011
• Publication Number:
  US 20030144930A1
• Time in Patent Office: 2,112 Days
• Field of Search: 705/31, 705/30, 705/19
• US Class Current: 705/31
• CPC Class Codes: G06Q 20/207 Tax processing
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/12 Accounting
• CPC Class Codes: G06Q 40/123 Tax preparation or submission
• CPC Class Codes: G09B 25/00 Models for purposes not provided for in G09B23/00, e.g. full-sized devices for demonstration purposes model vehicles, tracks therefor, models in the nature of toys A63H

Abstract

A method for managing tax audit (TA) information for a business entity using a server system is provided. The server system is coupled to a centralized database and at least one client system. The method includes receiving at the server system TA information from the client system, storing TA information received at the server system in the centralized database, tracking TA information stored in the centralized database, updating the centralized database periodically with newly received TA information to maintain TA information, and providing TA information in response to an inquiry.

Claims

1. A method for managing tax audit (TA) information for a business entity using a server system coupled to a centralized database and a plurality of computer systems, said method comprising:

associating at least one computer with at least one auditor, the auditor is associated with a taxing jurisdiction and facilitates determining whether a correct amount of use tax has been paid by the business entity to the associated taxing jurisdiction;

associating at least one computer with the business entity;

receiving at the server system TA information from a user using the business entity computer, the TA information including data relating to a plurality of business transactions entered into by the business entity wherein each transaction is potentially subject to a use tax;

storing TA information received at the server system in the centralized database;

tracking TA information stored in the centralized database;

updating the centralized database periodically with newly received TA information to maintain TA information;

providing the auditor with access to specific TA information stored in the database by a user associated with the business entity;

prompting the auditor to submit an inquiry to the server system from the auditor computer for TA information relating to a selected business transaction that the auditor has been granted access to;

displaying TA information for the selected business transaction including at least one document representing the business transaction on the auditor computer; and

determining by the auditor based on a review of the displayed TA information whether the business entity has paid a correct amount of use tax to the taxing jurisdiction associated with the auditor for the selected business transaction.

2. A method in accordance with claim 1 further comprising notifying a predesignated party of a review of TA information by the auditor including providing the predesignated party with at least one of comments and findings of the auditor relating to the review.

3. A method in accordance with claim 1 wherein receiving TA information comprises receiving at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction for each facility within a business entity.

4. A method in accordance with claim 1 wherein receiving TA information comprises receiving TA information input through the business entity computer.

5. A method in accordance with claim 1 wherein tracking TA information comprises compiling a data report including at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, comments, jurisdiction comments, image, and account number.

6. A method in accordance with claim 1 wherein tracking TA information comprises compiling a data report that includes a selected subset of at least one of a reference number, merchandise amount, vendor name, tax base, voucher, tax rate, business entity status, jurisdiction/auditor status, voucher description, account description, comments, jurisdiction comments, a document image, and an account number.

7. A method in accordance with claim 1 wherein tracking TA information comprises exporting TA information selected by a user to a spreadsheet computer program for review.

8. A method in accordance with claim 1 wherein tracking TA information further comprises linking at least one of invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction to a business transaction within an audit sample.

9. A method in accordance with claim 1 wherein prompting the auditor to submit an inquiry comprises:

displaying designated audit samples on the auditor computer; and

receiving an inquiry from the auditor computer regarding at least one of the audit samples.

10. A method in accordance with claim 1 wherein displaying TA information comprises:

displaying information on the auditor computer regarding at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, and an account number; and

receiving an inquiry from the auditor computer regarding at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, business entity comments, jurisdiction comments, the document image, and the account number.

11. A method in accordance with claim 1 wherein displaying TA information comprises:

accessing the centralized database;

searching the database regarding the specific inquiry;

retrieving information from the database; and

transmitting the retrieved information to the auditor computer for display by the auditor computer.

12. A method in accordance with claim 1 wherein displaying TA information comprises providing at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction for a business entity to at least one of an auditor, an analyst, and a business user.

13. A method in accordance with claim 2 wherein notifying the predesignated party comprises transmitting an electronic message to an analyst from the auditor notifying the analyst that a review of the TA information by the auditor has occurred, and notifying the analyst of the auditor'"'"'s comments and findings relating to the review of the TA information.

14. A method in accordance with claim 1 further comprising connecting the plurality of computer systems and the server system via a network that includes one of a wide area network, a local area network, an intranet and the Internet.

15. A method for managing tax audit (TA) information for a business entity using a server system coupled to a centralized database, at least one managerial user system, and a plurality of computer systems, said method comprising:

associating at least one computer with at least one auditor, the auditor is associated with a taxing jurisdiction and facilitates determining whether a correct amount of use tax has been paid by the business entity to the associated taxing jurisdiction;

associating at least one computer with the business entity;

receiving at the server system TA information from a user using the business entity computer, the TA information including data relating to a plurality of business transactions entered into by the business entity wherein each transaction is potentially subject to a use tax, the TA information further including at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction;

storing TA information received at the server system in the centralized database;

tracking TA information stored in the centralized database;

updating the centralized database periodically with newly received TA information to maintain TA information;

providing the auditor with access to specific TA information stored in the database by a user associated with the business entity;

prompting the auditor to submit an inquiry to the server system from the auditor computer for TA information relating to a selected business transaction that the auditor has been granted access to;

display displaying TA information for the selected business transaction including at least one document representing the business transaction on the auditor computer;

auditing the selected business transaction based on the displayed TA information to determine by the auditor whether the business entity has paid a correct amount of use tax to the taxing jurisdiction associated with the auditor for the selected business transaction;

notifying the user of the results of the audit of the selected business transaction; and

providing an electronic report of the audit results to the managerial user system, which includes at least one of a summary of TA information reviewed, and comments and findings of the auditor relating to the review of the TA information.

16. A method in accordance with claim 15 wherein receiving TA information comprises receiving an audit sample from an analyst through the business entity computer, the audit sample includes TA information for a designated facility within the business entity.

17. A method in accordance with claim 15 wherein tracking TA information comprises:

compiling a data report including at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, comments, jurisdiction comments, the document image, and the account number;

compiling a data report that includes a selected subset of at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, comments, jurisdiction comments, the document image, and the account number;

exporting TA information selected by a user to a spreadsheet computer program for review; and

linking at least one of invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction to a business transaction within an audit sample.

18. A method in accordance with claim 15 wherein providing an electronic report comprises transmitting an electronic report to the managerial user system from an analyst including a summary of the review of TA information, and the auditor'"'"'s comments and findings such that managerial oversight of the TA information is facilitated and compliance with tax laws, rules, regulations, standards, and policies is assured.

19. A method for managing tax audit (TA) information for a business entity using a web-based system including a server system coupled to a centralized database, a managerial user system and a plurality of computer systems, said method comprising:

associating at least one computer with at least one auditor, the auditor is associated with a taxing jurisdiction and facilitates determining whether a correct amount of use tax has been paid by the business entity to the associated taxing jurisdiction;

associating at least one computer with the business entity;

receiving at the server system TA information from a user using the business entity computer, the TA information including data relating to a plurality of business transactions entered into by the business entity wherein each transaction is potentially subject to a use tax, the TA information further including at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction;

storing TA information received at the server system in the centralized database;

tracking TA information including compiling data reports, exporting TA information, and linking documents to a business transaction within an audit sample;

updating the centralized database with TA information including adding and deleting information to revise existing TA information;

providing the auditor with access to specific TA information stored in the database by a user associated with the business entity;

prompting the auditor to submit an inquiry to the server system from the auditor computer for TA information relating to a selected business transaction that the auditor has been granted access to;

display displaying TA information for the selected business transaction including at least one document representing the business transaction on the auditor computer;

auditing the selected business transaction based on the displayed TA information to determine by the auditor whether the business entity has paid a correct amount of use tax to the taxing jurisdiction associated with the auditor for the selected business transaction;

notifying the user through an electronic message of the results of the audit of the selected business transaction, including the auditor'"'"'s comments and findings relating to the review of the TA information; and

providing a report of the audit results by transmitting an electronic report to the managerial user system, which includes a summary of the review of TA information, and the auditor'"'"'s comments and findings such that managerial oversight of the TA information is facilitated and compliance with tax laws, rules, regulations, standards, and policies is assured.

20. A network based system for managing tax audit (TA) information for a business entity, said system comprising:

a plurality of computer systems, wherein a first computer system is associated with at least one auditor, said auditor associated with a taxing jurisdiction for facilitating determining whether a correct amount of use tax has been paid by the business entity to the associated taxing jurisdiction, and a second computer system is associated with the business entity;

a centralized database for storing information;

a server system configured to be coupled to said plurality of computer systems client and said database, said server system further configured to;

receive TA information from a user using the business entity computer, the TA information including data relating to a plurality of business transactions entered into by the business entity wherein each transaction is potentially subject to a use tax;

store TA information in the centralized database;

track TA information;

update the centralized database periodically with newly received TA information to maintain TA information;

provide the auditor with access to specific TA information stored in the database by a user associated with the business entity;

prompt the auditor to submit an inquiry to the server system from the auditor computer for TA information relating to a selected business transaction that the auditor has been granted access to;

display on the auditor computer TA information for the selected business transaction including at least one document representing the business transaction;

enable the auditor to review the TA information for the selected business transaction to determine whether the business entity has paid a correct amount of use tax to the taxing jurisdiction associated with the auditor for the selected business transaction; and

notify the user electronically of the review of the TA information by the auditor, including the auditor'"'"'s comments and findings relating to the review of the TA information.

21. A system in accordance with claim 20 wherein each of the plurality of computer systems further comprises at least one of:

a displaying component for displaying at least one of a pull-down list, a check box, and hypertext link options relating to TA information;

a sending component to send an inquiry to the server system so that the server system can process and download the requested information to the computer systems;

a collection component for collecting TA information from users into the centralized database;

a tracking component for tracking TA information;

a displaying component for displaying TA information on at least one audit sample;

a receiving component for receiving an inquiry regarding at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction;

an accessing component for accessing the centralized database and causing the retrieved information to be displayed on the computer systems; and

a notifying component for electronically notifying users that a review of TA information by the auditor has occurred, and of the auditor'"'"'s comments and findings relating to the review of the TA information.

22. A system in accordance with claim 20 wherein said server system further comprises a receiving component for receiving an inquiry to provide information from one of a plurality of users.

23. A system in accordance with claim 20 wherein said server system further comprises a processing component for searching and processing received inquiries against the database containing information collected by the collection component, and for tracking the TA information.

24. A system in accordance with claim 20 wherein said server system further comprises a retrieving component to retrieve TA information from the database.

25. A system in accordance with claim 20 wherein said server system further comprises an information fulfillment component that downloads the requested information after retrieving from the database.

26. A system in accordance with claim 20 wherein said server system further comprises a receiving component that receives an inquiry from the computer systems regarding at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction.

27. A system in accordance with claim 20 wherein said server system further comprises at least one of a receiving component that receives information directly through the client system, and a receiving component that receives information in a pre-determined format established for inputting TA information.

28. A system in accordance with claim 20 wherein said server system further comprises a tracking component that accomplishes at least one of:

compiling a data report including at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, comments, jurisdiction comments, a document image, and an account number;

compiling a data report that includes a selected subset of at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, comments, jurisdiction comments, the document image, and the account number;

exporting TA information selected by a user to a spreadsheet computer program for review; and

linking at least one of invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction to a business transaction within an audit sample.

29. A system in accordance with claim 20 wherein said server system further comprises a notifying component that notifies the user via transmitting an electronic message to one of the computer systems of the review of the TA information by the auditor, including the auditor'"'"'s comments and findings relating to the review of the TA information.

30. A network based system for managing, storing, and disseminating tax audit (TA) information for a business entity, said system comprising:

a plurality of computer systems, wherein a first computer system is associated with at least one auditor, said auditor associated with a taxing jurisdiction for facilitating determining whether a correct amount of use tax has been paid by the business entity to the associated taxing jurisdiction, and a second computer system is associated with the business entity;

a managerial user system comprising a browser;

a centralized database for storing information;

a server system configured to be coupled to said client system, said managerial user system, and said database, said server system further configured to;

receive TA information from a user using the business entity computer, said TA information comprising data relating to a plurality of business transactions entered into by the business entity wherein each transaction is potentially subject to a use tax, the TA information further including at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction;

store TA information in the centralized database;

track TA information;

update the centralized database periodically with newly received TA information to maintain TA information;

provide the auditor with access to specific TA information stored in the database by a user associated with the business entity;

prompt the auditor to submit an inquiry to the server system from the auditor computer for TA information relating to a selected business transaction that the auditor has been granted access to;

display on the auditor computer TA information for the selected business transaction including at least one document representing the business transaction;

audit the selected business transaction based on the displayed TA information to determine by the auditor whether the business entity has paid a correct amount of use tax to the taxing jurisdiction associated with the auditor for the selected business transaction;

notify the user electronically via the business computer system of the results of the audit of the selected business transaction; and

provide an electronic report of the audit results to the managerial user system, which includes a summary of the TA information reviewed, and the auditor'"'"'s comments and findings relating to the review of the TA information.

31. A system in accordance with claim 30 wherein said server system further configured to:

display designated audit samples on the the plurality of computer systems for at least one of an auditor, an analyst, and a business user; and

receive an inquiry from the computer systems regarding at least one of the audit samples.

32. A system in accordance with claim 30 wherein said server system further comprises a receiving component that receives an inquiry from the auditor computer regarding certain topics including at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, business entity comments, jurisdiction comments, the document image, the account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction.

33. A system in accordance with claim 30 wherein said server system further comprises a processing component that cross-references TA information to assure compliance with tax laws, rules, regulations, standards, and policies.

34. A system in accordance with claim 30 wherein said server system further comprises a notifying component that notifies users by transmitting an electronic report from the server system of a review of the TA information by an auditor, including the auditor'"'"'s comments and findings relating to the review of the TA information.

35. A system in accordance with claim 30 wherein said server system further comprises a providing component that provides an electronic report to the managerial user system by transmitting an electronic report to the managerial user system from an analyst comprising a summary of the review of TA information, including the auditor'"'"'s comments and findings, such that managerial oversight of the TA information is facilitated and compliance with tax laws, rules, regulations, standards, and policies is assured.

36. A computer program embodied on a computer readable medium for managing tax audit (TA) information for a business entity, said program comprising a code segment that receives TA information from a user associated with the business entity and then:

receives information from at least one auditor, the auditor is associated with a taxing jurisdiction and facilitates determining whether a correct amount of use tax has been paid by the business entity to the associated taxing jurisdiction;

maintains a database by adding, deleting and updating TA information, the TA information including data relating to a plurality of business transactions entered into by the business entity wherein each transaction is potentially subject to a use tax;

provides users with access to TA information;

generates data reports based on TA information that include at least one of a reference number, a merchandise amount, a vendor name, a tax base, a voucher number, a tax rate, a business entity status, a jurisdiction/auditor status, a voucher description, an account description, business entity comments, jurisdiction comments, a document image, an account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction;

compiles data reports that include at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, comments, jurisdiction comments, the document image, and the account number;

compiles data reports that include a selected subset of at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, comments, jurisdiction comments, the document image, and the account number;

exports TA information selected by the user to a spreadsheet computer program for review;

links at least one of invoices, exemption certificates, and other documents relating to use taxes paid by the business entity to a taxing jurisdiction for each business transaction within an audit sample;

provides the at least one auditor with access to specific TA information stored in the database by a user associated with the business entity;

prompts the auditor to submit an incluiry from an auditor computer for TA information relating to a selected business transaction that the auditor has been granted access to;

displays on the auditor computer TA information for the selected business transaction including at least one document representing the business transaction;

enables the auditor to review the TA information for the selected business transaction to determine whether the business entity has paid a correct amount of use tax to a taxing jurisdiction associated with the auditor for the selected business transaction;

notifies the user of the review of TA information for the selected business transaction by the auditor; and

provides a report comprising a summary of the review of the TA information, including the auditor'"'"'s comments and findings.

37. A computer program in accordance with claim 36 further comprising a code segment that provides at least one of an option to filter TA information based on at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, comments, jurisdiction comments, the document image, and the account number.

38. A computer program in accordance with claim 36 further comprising a code segment that generates a display of at least one of the reference number, the merchandise amount, the vendor name, the tax base, the voucher number, the tax rate, the business entity status, the jurisdiction/auditor status, the voucher description, the account description, business entity comments, jurisdiction comments, the document image, the account number, business information, amounts remitted to taxing jurisdiction, invoices, exemption certificates, and other documents relating to use taxes paid to a taxing jurisdiction for each facility within a business entity.

39. A computer program in accordance with claim 36 further comprising:

a code segment that accesses said database;

a code segment that searches said database in response to an inquiry;

a code segment that retrieves information from said database;

a code segment that causes retrieved information to be displayed on a client system;

a code segment that notifies a user of a review of the TA information; and

a code segment that causes a report summarizing the review of TA information to be transmitted.

40. A computer program in accordance with claim 36 further comprising a code segment that monitors the security of the system by restricting access to authorized individuals.

41. A computer program in accordance with claim 36 further comprising a code segment that cross-references existing TA information with newly received TA information.