The IRS Correspondence Audit
The Internal Revenue Service has four basic tax audits that they collect revenue from.
The IRS Correspondence audits are the simplest type of audit and involve the IRS sending a letter in the mail (typically a 566 letter) requesting more information about particular part of a tax return. For example, the IRS may have questions regarding auto expense and request you send in receipts to substantiate your deduction.
Believe it or not, the correspondence tax audit accounts for 75% of the total audits because it’s easy, it’s cheap, it’s a computer-generated notice and they take little time for the agent to process.
Why did you get this notice from the IRS and why have you been audited
The IRS has national averages that tax return items should fall between.
If your tax return falls out of the DIF score or the national average you will probably receive an IRS notice 566 with a checkmark or a punch list of things that they want you to return to them and show proof of the deduction, these are simple and do not be scared.
What you Need To Do, time sensitive.
It is very important you respond to them timely and have all the information sent to them. If you do not send back the information they want by the day they want it, the IRS will set this deficiency up against you & in a matter or course of time they will begin collection on the new assessed tax debt.
Do not send original documents but keep the originals for yourself and make sure they go out certified.
Do not assume the Internal Revenue Service is correct.
Check with your tax professional. If you are not sure what to do you can contact us for free initial tax consultation.
I would think the average taxpayer will receive one of these in the course of their lifetime. Need help just hit up former IRS agents who know the system can help lower your tax bills any day.
