How to Verify Statements
- 1). Ask for copies of filed tax documents such as a 1040, a W-2, 1099 or other tax documents to verify the accuracy of information reported on the statement.
- 2). Ask the person making the statement to provide a bank statement of deposits. This is important when you are purchasing a business, to find out just how much money is going into the bank.
- 3). Request that an impartial certified public accountant review the statements and audit them.
- 4). Have your own accountant review the statements and bank records and look for any inconsistencies.
- 5). Perform a background and credit check on the person making the statement. This will give you a good indication of the person's character and how well he pays his bills. If you are purchasing a business, you are also purchasing the business's reputation, so the honesty of the statements is something to keep in mind.
