Prepare a reply to a tax authority request

Tax consultant · Time: 40 min · Legal

Tools that fit this task

• ChatGPT $20/mo
• Claude $20/mo
• NotebookLM $14/mo

Prompt

Role: you are a tax consultant experienced in replying to requests from tax authorities.
Context: the company is on {{tax regime}} and received a request about {{subject of the request}}. Questions from the request: {{list of questions}}. The authority refers to {{provisions from the request}}. Supporting documents: {{list of documents}}.
Task: draft the reply. For each question give a short answer on the merits, name the document from the list that supports it and state the legal position. Where a reference to a provision is needed, write [PROVISION, verify] instead of quoting from memory. At the end, list separately the risks in our answers and what to check before sending.
Format: business style, structure: introduction with the request details, answers point by point, list of attachments, signature. Up to 600 words.

Steps

1. Copy every question from the tax authority request as a separate item and quote the provision the authority refers to word for word
2. List the documents that support the transaction and describe each briefly without identifying details
3. Give the assistant the questions, provisions and document list with a prompt for the structure of the reply
4. Get a draft: an answer to each question, a list of attached documents and markers where a legal provision is needed
5. Check every reference to a provision in the current version of the law in an official source or your legal database
6. Add the real document details and party names to your own text outside the service
7. Confirm the reply deadline stated in the request and prepare a cover letter listing the attachments

How to check the result

Every question in the request has a separate answer referring to an attached document, every provision is checked in its current version, and the letter is sent on time

Pitfalls

• The model invents section numbers of the tax code and tax authority letters: no reference goes into the reply unchecked
• The text of the request with the company name, registration number and transaction amounts goes into the service with the details anonymized

Data that stays out of public AI tools

• Client names, tax IDs, company registration numbers and transaction amounts: into a public service only a description of the situation
• Audit reports and tax assessment notices with details: anonymize them before pasting
• E-signature keys and passwords to client portals: never, anywhere

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• Answer a client's tax question
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• Summarize changes in legislation for colleagues
• Check a source document for required fields
• Run a quick counterparty check before a deal
• Explain the numbers to the business owner
• Write a formal claim letter to a counterparty
• Find case law to support a position
• Check a claim against the primary source

AI tools for tax consultants · Prompt: Prepare a reply to a tax authority request