VAT Audit: Methodological and Organizational Aspects and Practical Implications

Abstract

Abstract. This research paper examines the specific features of VAT audits, as this tax is one of the key sources of revenue for the state budget, which necessitates a heightened focus on the accuracy of accounting records and the timeliness of payments. The aim of the article is to provide a comprehensive scientific justification of the theoretical and methodological foundations and organisational approaches to the audit of value added tax, as well as to identify areas for improving audit procedures, taking into account the current conditions of the economy and the transformation of the tax environment. The research involved the use of a range of scientific methods: methods of analysis and synthesis were applied to examine the theoretical and methodological foundations of VAT auditing, critical review of scientific works by domestic and foreign scholars, as well as the detailed analysis of the structural elements of the value-added tax mechanism, followed by the synthesis of the results into a coherent conceptual framework for VAT auditing; methods of induction and deduction were used in formulating the research logic; the method of comparison was applied to assess the dynamics of the amount and share of VAT in the structure of Ukraine’s consolidated budget revenue for 2014 - 2025; content analysis ensured a systematic review of legislative and regulatory documents, academic publications and analytical materials concerning the legal regulation, administration methodology and practice of VAT auditing; a systematic approach was used as the basic methodological tool for the comprehensive identification of the essence of VAT and the characteristics of its administration mechanism; the method of generalisation was used to formulate the study’s conclusions, systematise the results of the analysis, justify the directions of VAT audit and identify tools for minimising VAT risks in the context of applying a risk-based approach in auditing. The authors have summarised the key areas of VAT auditing; developed a conceptual model for assessing and classifying VAT risks, and identified tools for minimising them within the framework of a risk-based approach to auditing; They have detailed the specific features of the use of audit procedures and characterised the specific use of digital technologies in the process of auditing VAT transactions. The results of the study have shown that a systematic approach to conducting VAT audits ensures the reliability of financial information and helps to minimise a business entity’s tax risks.