Through our multidisciplinary team, we provide our clients with personalized, high-quality boutique services specializing in compliance with their tax obligations, advice on tax matters, tax due diligence, local and international tax planning, assessments of proper tax compliance, as well as representation and assistance during initial audits and tax inspections conducted by the Tax Administration (SUNAT).
Our services focus on reviewing tax compliance and assisting companies in accurately determining their tax obligations, while identifying tax savings opportunities permitted under our regulations.
SERVICES:
- Review and preparation of tax returns.
- Advice on the evaluation of internal control processes related to tax matters.
- Support during tax audit and compliance processes.
- Analysis of tax implications related to the implementation of IFRS.
- Due diligence, tax assessments, and tax planning.
- Evaluation of pre-operating expenses, fixed assets, and intangible assets.
- Recovery of tax benefits.
- Review and preparation of electronic books.
- Assistance in improving the effective income tax rate.
- Contribution to the development and improvement of tools for monitoring tax management.
- Advice on tax considerations for preparing cash flow statements and investment projections.
- General tax and accounting consulting.
Review and preparation of tax returns
Services include:
- Review and preparation of the income tax return.
- Review and preparation of the General Sales Tax (IGV) return.
- Review and preparation of the Temporary Tax on Net Assets (ITAN) return.
- Other applicable taxes.
Advice on the evaluation of internal control processes related to tax matters
Advice on the design and implementation of internal control procedures related to transactions that affect tax calculations, as well as an assessment of their proper functioning if such procedures have already been implemented by the Company.
These include:
- Traceability of provisions, write-offs, and reversals.
- Inventory shortages, surpluses, shrinkage, and losses.
- Extraordinary losses.
- Payments for transactions with non-resident parties.
- Accrual of revenue and expenses.
Support for tax assessment and audit processes
Audit Processes:
- Preventive assistance to ensure that the Company has the necessary supporting documentation for the transactions under review.
- Identification and evaluation of the supporting documentation required by the tax authorities.
- Evaluation of the relevance of the evidence to be presented.
Tax Audits:
- Definition of the defense strategy.
- Review of the supporting documentation to be submitted as evidence in response to each request.
- Drafting of briefs setting forth the legal arguments supporting the positions taken by the Company.
Analysis of the tax implications associated with the implementation of International Financial Reporting Standards (IFRS)
We evaluate the tax consequences arising from our clients’ implementation of IFRS through the following alternatives, which we offer based on their specific needs:
- Specific consulting services;
- Determination or review of the reconciling items arising for the purposes of calculating current income tax;
- Conceptual or detailed analysis of their impact on the calculation of deferred income tax.
- Review of the tax reports prepared by the company regarding these implications as part of its process of adopting International Financial Reporting Standards (IFRS).
Due Diligence, Tax Diagnostics, and Tax Planning
Due Diligence
We evaluate companies’ tax situations to estimate their impact on the companies’ fair value, whether for the purposes of the buyer, seller, or potential investors.
Diagnostics
A proactive review of a company’s tax situation to assess compliance or non-compliance with its tax obligations, recommending mitigation strategies or solutions to avoid contingencies in the event of a tax audit by the National Superintendency of Customs and Tax Administration (SUNAT).
Tax Planning
These services seek to maximize corporate tax benefits in current and future operations, with the aim of paying or deferring the applicable income tax (IR) in accordance with current tax regulations.
Evaluation of Pre-Operating Expenses, Fixed Assets, and Intangible Assets
We analyze their proper treatment for tax purposes on a case-by-case basis:
- Conceptual assessment of the true nature of pre-operating expenses, fixed assets, or intangible assets to validate their correct tax treatment in accordance with the general income tax regime, special rules, or sector-specific regulations.
- Review of the appropriate supporting documentation for each item to ensure its eligibility for deduction as an expense, depreciation, and/or amortization.
- Warning regarding risks associated with potential challenges to such deductions due to new audit trends or formal opinions issued by the National Superintendency of Customs and Tax Administration (SUNAT), as well as changes in the Tax Court’s case law.
Recovery of Tax Credits
Assistance with the refund application process that our clients may need to file for the following items:
- Credit balance for Income Tax (IR).
- Unapplied balance of the Temporary Tax on Net Assets (ITAN).
- Advance or final refund regime for General Sales Tax (IGV).
- Withholdings, deductions, and collections of General Sales Tax (IGV).
- Credit balance related to export benefits.
Review and preparation of electronic books
Assistance to companies in reviewing or preparing their electronic books, with the aim of ensuring the quality of the information to be reported in those that, as applicable, are required to file:
- Purchase and sales records.
- Journal and/or general ledger.
- Inventory ledgers.
- Fixed asset register.
- Consignment records.
- Cost records.
- Perpetual inventory ledger in physical units or valued perpetual inventory.
- Inventory and Balance Sheet Ledger.
Assistance in reducing the effective income tax rate (IR)
We aim to help our clients reduce their annual effective income tax rate (IR) through options such as the following:
- Identifying inefficiencies in the calculation of this rate compared to the economic sectors in which their businesses operate.
- Identifying taxable or deductible temporary differences that have been improperly treated as permanent.
- Proposing alternatives that involve converting a permanent difference into a temporary one.
Contributing to the development and improvement of tools for monitoring tax management
Our goal is to help improve the tools designed by our clients to track the tax management carried out by their staff responsible for tax settlements, enabling them to monitor compliance with specific tax indicators, such as:
- Tax efficiency in the assessment of such taxes.
- Recovery and administration of tax attributes.
- Adequate documentation of transactions and records of fines paid during taxable years that were subject to tax audits.
- Timely compliance with formal and substantive tax obligations.
- Deadlines for filing administrative claims or appeals, as well as lawsuits before the courts.
Advice on tax considerations for preparing investment cash flows and projections
This involves assessing the impact of tax variables to be considered in economic investment models, such as:
- Depreciation of fixed assets and amortization of intangible assets.
- Limits on the deduction of expenses.
- Applicable tax benefits.
- Special and sector-specific tax regimes.
- Utilization of systems for offsetting tax losses.
- Tax rates and levies applicable to each type of business.
General tax and accounting consulting
We assist our clients in resolving their questions regarding the tax consequences arising from the accounting treatment of their transactions, other than those resulting from the implementation of International Financial Reporting Standards (IFRS), including the following:
- Assessment of the additions or deductions that must be made in determining the net taxable income or tax loss for each period as a result of the journal entries recorded for such transactions.
- Review of their effects for deferred income tax purposes.
- Identification of uncertain tax positions arising from tax interpretations adopted in the past regarding such transactions.
- Observations or recommendations to be taken into account in order to avoid future tax contingencies in the event of a tax audit by the Tax Authority.
