Identifying The Fraud Of The Accounting Information System Under The Perspective Of Tax Check

Accounting information system is the development of such information technologies as database, computer network and communication engineering in the field of accounting. In a narrow sense, accounting information system refers to financial software which comprises general ledger, wages, fixed assets, costs, inventory, financial statement, accounts receivable and payable, financial analysis and other functional modules. In a broad sense, however, accounting information system is classified into accounting information processing system(also known as financial accounting information system), accounting management information system and accounting decision-making analysis system. Accounting information processing system includes financial software and enterprise resource planning(ERP). Financial software is equivalent to the ERP accounting subsystem. ERP integrates financial system, production, supplier, client, human resources and quality control to form a complete supply chain and effectively manage various links on the chain. External regulators keep the most frequent contact with accounting information processing system.Since the advent, in 1989, of the first Chinese accounting software Xianfeng General Financial System developed jointly by Professor Pu Qu from Tsinghua University and Professor Wang Jingxin from Renmin University of China and approved by the Ministry of Finance, accounting information system has been enjoying a boom. The reform in accounting information carrier and data processing has exerted a wide and far-reaching effect on external audit and tax check. Under the context of accounting informatization, the techniques, operating way and even ideas of tax check and audit have experienced qualitative change although the goals still remain the same. In view of this, the Auditing Administration launched Auditing Informatization Planning, namely China’s Golden Auditing Project, to meet the challenge of informatization. As the project is highly valued, comprehensively planned and well implemented, significant achievements in auditing informatization have been made over the past decade. Nowadays, lots of well-known tax checking software like YONYOU, ZHONGPU, QIXING, ETA, etc are being widely used and playing a significant role in improving checking accuracy, pertinence and work efficiency. Nevertheless, great efforts are needed to build a systematic project on informatization of tax check.Tax check informatization does not merely mean the use of the tax auditing tool. Also the tax checking personnel should have a good understanding of informatization. Under the informatization context, informatization-oriented awareness is necessary for auditing personnel to put into practice modern auditing ideas. Currently lots of checking personnel are able to use tax auditing software but do not quite familiarize the accounting information system. This will add difficulty to practical work. So far accounting informatization has been realized in nearly all big- and- medium-sized enterprises. In other words, there is only one set of electronic ledger intended for financial accounting, with traditional manual accounting records completely abandoned. When coming to inspect tax in such enterprises, the tax checking personnel will often be hoodwinked by the accounting information system. Instead of operating the accounting information system to obtain the first-hand data in the flesh, they only review the financial data and statements printed by the accountants from the accounting system. In this way, they are easily hoodwinked by the accountants of the targeted inspection enterprises as the printed data from the accounting system is likely to be falsely processed. As the false data is unable to reflect the authentic production status, the drawn inspection conclusions will be unreliable.To accelerate the pace of modernized taxation, big data strategies are being adopted by the taxation department to integrate tax-related data from different sources. To guarantee the collection of all taxes receivable, the key is to obtain abundant data, effectively process the data, scientifically analyze the data and utilize the data reasonably. Without good understanding of the structure, operating principle, backend database characteristics and connections between various functional modules, it’s hard for tax checking personnel to discover the fraudulence and obtain accurate and complete financial system data, let alone reasonable analysis and utilization of data.Centered on tax inspection, the paper began with the influence and challenge of accounting informatization on tax inspection, and analyzed methods and techniques commonly used by enterprises through the accounting information system for financial cheat. The paper studied the financial system operation and internal control defect. On this basis, it presented ideas and countermeasures for tax checking personnel to spot and cope with financial cheat during routine inspection work, taking into account the system of control, accounting information system operating traces, accounting data and the AIS system. It thoroughly analyzed various causes to financial cheat. The paper ended with account of Company Shennuan, a manufacturing enterprise. It reviewed the whole process, from the company’s being listed by tax authority as the target of risk management to the implementation of tax payment appraisal, the discovery of problems, the start of tax auditing procedures, and the making of handling decisions. In this case, the tax personnel recovered and collected data with database technologies and the informatization tool—tax auditing software. This will serve as reference, to some extent, for the tax checking of accounting informatization enterprises.