9.   How often is paint purchased?

10. At what discount do you purchase parts? (will probably vary with make of vehicle)

11. What are the labor rates charged for repair? (will vary depending upon type of work needed)

12. Do you supply loan cars? If so, do you get rebates from rental companies for the loaners?

13. When will a job be booked as a sale?

14. Do you have steady referrals from dealerships?

15. Are deductibles ever waived? What would be the circumstances?

16. Are liens ever placed on vehicles for sale or recovery of expenses?

17. If the taxpayer maintains inventory on the return, ask how the inventory has been computed and of what it is comprised.

18. How is the payroll determined for the repair staff? (hourly wage, salary, percentage of labor charge or a combination)

19. How is the repair staff treated - employees or independent contractors?

20. If taxpayer is a C-Corporation, what are the duties of the current shareholders?

21. What is the current percentage ownership of each shareholder?

22. Is there any family relationship between the shareholders?

23. Were relatives of the shareholders employed by the corporation?

24. How is officer compensation (salary, bonus, fringe benefits) determined?

25. Does any officer, relative, or group of which an officer is a member, have dealings with the corporation other than as an employee? (that is, lessor, vendor, consultant)

26. Does the corporation own or lease vehicles assigned for the use of specific officer/shareholders?

 

 

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