Liability, equity and payroll requests are smaller in volume than asset requests but more sensitive. They touch owner compensation, lender relationships and legal records. Ask for them early, ask for them in writing and ask the right person. Companion lists: cash, receivables and revenue and inventory, fixed assets and leases. For due dates and follow-up, see PBC request tracking.
Debt
| Request | Purpose | Form | Timing |
|---|---|---|---|
| List of all lenders and facilities, with balance, rate, maturity, collateral | Population and completeness | Signed listing | Interim |
| Loan agreements, amendments, waivers, forbearance letters | Terms, covenants, classification | Contracts | Interim |
| Debt rollforward with proceeds and repayments | Test balance | Spreadsheet | Year-end |
| Lender statements at year end | Corroborate confirmations | PDFs | Year-end |
| Covenant compliance certificates and calculation workpapers | Recompute covenants | Spreadsheet and PDFs | Year-end |
| Correspondence with lenders on defaults, extensions, renegotiations | Classification, going concern | Letters, emails | Year-end |
| Debt issuance costs schedule and amortization | Presentation | Spreadsheet | Year-end |
| Interest expense and accrued interest calculations | Recompute | Spreadsheet | Year-end |
| Related party and shareholder loan agreements | Terms, disclosure | Contracts | Interim |
| Guarantees given or received | Disclosure | Listing, contracts | Year-end |
| UCC filings or lien correspondence | Completeness of debt | Reports | Interim |
| Lines of credit: borrowing base certificates, availability | Unused commitments disclosure | Certificates | Year-end |
See debt audit procedures and covenant testing.
Equity
| Request | Purpose | Form | Timing |
|---|---|---|---|
| Articles of incorporation or operating agreement, bylaws and amendments | Capital structure | Documents | Interim |
| Minute books for all meetings of the board, committees and shareholders, including written consents | Authorization of equity actions, related party leads, subsequent events | Documents | Interim, updated at year-end |
| Stock ledger, cap table, transfer agent report | Shares outstanding | Spreadsheet, PDF | Year-end |
| Equity transaction agreements: issuances, repurchases, conversions | Vouching | Contracts | Year-end |
| Option and warrant plan documents, grant listing, valuation reports | Stock compensation | Documents, Spreadsheet | Year-end |
| Dividend and distribution declarations and payment support | Vouching | Minutes, bank records | Year-end |
| Shareholder and buy-sell agreements | Repurchase obligations | Contracts | Interim |
| Owner and officer compensation arrangements | Related party, compensation | Contracts | Interim |
Payroll and benefits
| Request | Purpose | Form | Timing |
|---|---|---|---|
| Payroll register summaries by pay period or year-end by employee | Tie to ledger, selection | System export | Year-end |
| Employee master file with hire date, termination date, rate | Ghost employee tests, new hires, terminations | System export | Year-end |
| Forms 941 (all four quarters), W-3 and state returns | Tie to ledger, liabilities | Copies | Year-end |
| Payroll tax deposit records | Test liabilities | Tax deposit confirmations, bank records | Year-end |
| Payroll processor reports, and its service organization report if available | Reliance on processor | PDFs | Interim |
| Bonus, commission and incentive plans, with calculations | Accrual testing | Plans, Spreadsheet | Year-end |
| PTO policy and accrual schedule by employee | Accrual testing | Policy, Spreadsheet | Year-end |
| 401(k) and benefit plan deposit records | Timeliness, liabilities | Reports, bank records | Year-end |
| Employment agreements for officers and key employees | Terms, disclosure | Contracts | Interim |
| Worker classification analysis for contractors | Compliance and accrual | Memo | Interim |
| Payroll bank account reconciliations | Control | Spreadsheet | Year-end |
See payroll audit procedures, ghost employee testing and payroll liabilities.
Accrued liabilities and other
| Request | Purpose | Form | Timing |
|---|---|---|---|
| Accrued expenses detail with calculations | Completeness, valuation | Spreadsheet | Year-end |
| Subsequent disbursements register through the audit date | Unrecorded liabilities | Spreadsheet | Year-end, updated |
| Unpaid invoice file at year end | Completeness | Listing | Year-end |
| Vendor statements for major vendors | Reconciliation | PDFs | Year-end |
| Legal letter list: counsel, claims, assessments | Litigation | Listing | Interim |
| Income tax returns, workpapers for the provision | Tax accounts | Returns, Spreadsheet | Year-end |
| Regulatory correspondence | Laws and regulations | Letters | Year-end |
| Related party list signed by management | Completeness | Listing | Interim |
See search for unrecorded liabilities, legal letters and related parties.
How to ask for sensitive items
- Address payroll and officer compensation requests to the controller or HR head, and tell the owner they are standard.
- Address debt requests to the CFO or the owner, who usually holds the lender relationship.
- Ask for the minute books early. They often hold events the rest of the list will not surface.
- Explain that payroll and compensation tests are routine, so staff do not assume suspicion.
Items auditors send, not clients
Confirmations to lenders, counsel and banks go from the auditor. The PBC list asks the client for the contact information and the signed authorization, not the confirmation itself. See bank confirmations.
CORAA prepares ready-to-review audit files for US CPA firms; the firm keeps the client, the review and the signature. See /us.
Sources
- AICPA, AU-C Section 500, Audit Evidence; AU-C Section 505, External Confirmations; AU-C Section 550, Related Parties
- Internal Revenue Service, Employment Tax Recordkeeping: irs.gov
- U.S. Government Accountability Office, Financial Audit Manual, Volume 1 (GAO-26-108577), June 2026: gao.gov (FAM 470, external confirmation and substantive procedures)
Part of CORAA University · Evidence and audit procedures: related guides, calculators and templates.
AU-C references are to AICPA Professional Standards, paraphrased here; read the standard itself before relying on a requirement. This page is guidance, not professional advice. Report an error