Who is audited?

Employers are selected for audits for some of the following reasons:

• The employer is involved in a legal transaction and the lawyer has requested a clearance letter which is required to finalize all legal transactions including financing.
• The employer has requested a refund greater then $1,000.
• The employer is a part of an industry group being reviewed by the Commission.
• The employer or an employee has reported an injury and additional information is required to make a decision on the claim.
• The employer has been randomly selected for an audit
  

How should I prepare for an audit?

An auditor will contact you to arrange a mutually agreeable time and place to conduct the audit.    Be sure to have representative(s) available during the audit that are able to respond to questions that arise. 

What types of information do we need to complete an audit?

The types of records we would normally review are:

•  Financial statements that cover the calendar years being audited
• Trial Balance and General Ledger
• T4s, T4As, T5s and associated summaries
• Payroll records for all employees
• Cheque disbursement journals, bank statements and cancelled cheques
• Accounts payable journal
• Sales invoices
• Contracts for government program funding and payment details
• Other WCB's invoices and annual reports for wages reported to other provinces
• Record of casual labour
• Record of contract labour, contracts and invoices
• Fish Buyers - T4F's & Summary, fish purchase journals, fish landings reports, and general ledger detailed listings for requested accounts        
• Log Harvesters – Logging permits, Department of Forestry slips and logging payroll journal

This is not an all inclusive list and all accounting records must be available for review if required including original source documents. 

What should I expect from an auditor?

We require our audit staff to:

• Conduct themselves in a professional and business-like manner
• Know our WHSCC system and policies
• Be a reference source for employers
• Educate employers about their reporting obligations
• Be a liaison between employers and other WHSCC staff

How many years can we audit?

Generally, an audit will consist of 3 years however we can audit up to six years including the current year. 

How long will an audit take?

The time it takes to complete an audit will vary from employer to employer.  Generally the size and complexity of your operation will determine how long it takes to complete the review of financial records and classification(s).  In addition, time will vary directly with the number of issues found during an audit. 

What happens during the audit?

An audit will either involve your sending financial records to us for review or having the auditor do an on-site visit.  The auditor will review the financial records, update demographic information for our database and review your business activity to ensure you are properly classified.   

What happens after the audit?

The auditor will review their preliminary findings with you at the end of the audit.  If you have any questions or concerns, these should be addressed with the auditor at that time. You will receive an invoice when the audit is processed outlining the audit adjustments (if any) once the audit has been approved.