The paper includes the analysis of controlling as a function of management in the public sector, ie the structure and methods of tax controlling in the Republic of Croatia. In the first part, it explains the tax system of the Republic of Croatia with special reference to income tax and value added tax, as well as the organization, purpose and goal of the Tax Administration. Special attention is paid to the role of the Tax Administration in implementing and maintaining tax discipline in terms of performing tax inspections, preventing tax evasion and avoidance, and detecting criminal offenses in order to more efficiently collect public revenues that finance numerous needs of society, ie public expenditures. It will be explained to what extent the knowledge of rights and obligations in tax proceedings, especially during tax supervision, as well as the communication between tax inspectors and taxpayers, can affect the outcome of tax supervision. Knowledge of tax regulations can significantly reduce the risk of unintentionally entering the area of illicit tax evasion. The paper describes tax controlling on the example of craftsmen through the procedures of preparation and implementation of tax supervision, and lists the legal possibilities to reduce the tax burden. At the end of the paper, an assessment of the effectiveness of tax controlling was given.