Role of the External Auditor in Maximizing Budget Revenues Jordan as a Case Study

Abstract

External audit is an important factor in maximizing, collecting and increasing the efficiency of the financial departments with regards to controlling the budget revenues and making them smoother and also in the production of accurate and credible tax data and thus a real and fair taxation that achieves the objectives of different parties. External audit works on increasing and promoting the voluntary tax compliance, detecting and deterring cases of tax evasion, controlling the tax collection process almost completely, reducing the efforts of the tax departments through relying on the tax disclosure which would be provided by the taxpayer after an effective audit process; such a process contributes significantly to the prevention of intentional and unintentional cases of tax evasion resulting from fraud and error in both the tax data provided and the financial data on which data was prepared. This subject was strengthened by a field study based on a questionnaire to test the research hypotheses and reach to a set of findings and recommendations, most important of which is that the external audit has a positive role in improving tax collection through the adaptation of the financial departments on the tax disclosure prepared and approved by the auditor and ensuring the existence of a previous process in this regard that would reduce tax collection costs, contributes to the transition from a comprehensive data auditing to selective auditing and helps to eliminate past tax accumulations.