In this episode, Andrew Henshaw and Rajan Verma dive into the process of a payroll tax investigation. They explain the typical timeline and procedures, starting with the initial letter from the state revenue office. This episode highlights the importance of early preparation and accurate record-keeping to minimise penalties. Rajan shares insights from his own experience, noting how state revenue offices often uncover issues through sophisticated data matching. Listeners learn how to respond when selected for an audit and the importance of considering voluntary disclosures to mitigate potential penalties.