Miami – IRS Tax Audit Representation – Former IRS Managers/Agents -Tax Audit Experts, Affordable

by Fresh Start Tax | May 15, 2013 | IRS Tax Audit

Miami – IRS Tax Audit Representation – Former IRS Managers/Agents Tax Audit Experts, Affordable     954-492-0088

 
If you are going to experience an IRS tax audit and need professional tax representation there is no better persons to hire an former IRS agents and managers who know the system and work right here in the South Florida IRS offices.
We have over 60 years of working directly for the Internal Revenue Service in the local South Florida IRS  offices.
We have worked as IRS auditors, IRS revenue agents, IRS appellate agents, IRS supervisors and have taught tax law at the Internal Revenue Service.
We are a full service tax firm and all work done in-house. We represent various law firms and CPA firms whose clients have IRS problems. We have been practicing right here in South Florida since 1982.
We are A+ rated by the Better Business Bureau.
Come and see us for an initial tax consultation and we can fully review your potential IRS tax audit and handle any appellate work or tax settlement should you will money.
Do not be bullied by the Internal Revenue Service hire experience and trust all for affordable fee pricing.
 

Common questions and answers asked by clients and taxpayers

• Does the IRS ever contact a taxpayer or the tax preparer via e-mail to initiate an audit?

The IRS does not contact an individual via e-mail for an initial appointment. Contact related to being selected for an audit will be made via telephone or mail only, due to disclosure requirements.
 

• Does filing an amended return affect the return selection process?

Filing an amended return does not affect the selection process of the original return. However, amended returns also go through a screening process and the amended return may be selected for audit. If the IRS is has sent you a notice of an IRS tax audit the last thing you want to do is file an amended tax return. That is a huge red flag for the IRS agent.
 

• Why was my return selected for audit?

When returns are filed, they are compared against “norms” for similar returns. The “norms” are developed from audits of a statistically valid random sample of returns. These returns are selected as part of the National Research Program which the IRS conducts to update return selection information.
The return is next reviewed by an experienced auditor. At this point, the return may be accepted as filed, or if based on the auditor’s experience questionable items are noted, the agent will identify the items noted and the return is forwarded for assignment to an examining group.
Upon assignment to a group, the return is reviewed by the manager. Items considered in assigning a case are: factors particular to the area such as issues pertaining to construction, farming, timber industry, etc. that have specific factors and rules that apply. Based on the review, the IRS audit manager can accept the return or assign the return to an auditor.
The assigned  IRS Tax auditor again reviews the return for questionable items and either accepts it as filed or contacts the taxpayer to schedule an appointment.
 

• Where will the IRS Tax audit be held?

It depends on the type of audit being conducted.
Audits by Mail/Correspondence Audit: Some audits are conducted entirely by mail. If the audit is conducted by mail, you will receive a letter from the IRS asking for additional information about certain items shown on the tax return such as income, expenses, and itemized deductions.
In-Person Audits are audits conducted either at a local IRS office or at your business location.  there are general to types of in person IRS  tax audits.
The first is called an IRS office audit which obviously occurs inside the IRS office and the second is a more  complicated and  complex IRS tax audit is conducted by an IRS revenue agent, that usually takes place of business or at the tax professional’s office
 

• Can you request the IRS tax audit be conducted at the IRS office instead of at your place of business?

If the audit has been scheduled to be conducted at your location, it will generally be conducted where the books and records are located.
Requests to transfer the IRS Tax audit to another location, including an IRS office, will be considered but may not be granted. Treasury Regulation 301.7605-1(e), Time and place of audit, discusses the items considered when a request for a change in location is made. If the IRS feels the tax audit is being moved to delay matters the Internal Revenue Service will not change locations.
 
 

• Can the audit be transferred to another IRS office?

You can request a transfer of an audit if you have moved. Several factors will be considered such as your current location, the location of the business and where the books and records are maintained.
If the audit is by correspondence, you can request a face-to-face audit because the books and records may be too voluminous to mail.
How long should the records related to a business or other long-term asset be kept?
In the case of an asset, records related to the asset should generally be kept for as long as you have the asset plus three years.
If the asset was exchanged, the basis for the new asset may include the exchanged asset so the records for both assets will need to be retained until the new asset is disposed plus three years from the file date of the tax return for the year of disposition.
 

• How long should payroll tax records be kept?

Payroll records should be kept for six years with a review of the file to see if any items relating to current employees should be retained with current records.
 

• After an auditor completes the audit, will the case be reviewed to ensure the audit results are correct?

All cases may be reviewed by the auditor’s manager either during the audit or upon completion. If errors are noted by the manager, the auditor will contact you to advise you about the proposed correction and what impact this may have on the amount of tax due.
 
 

• It’s time for my appointment and I’m not ready. What do I do?

If you do not have all the information requested, contact your auditor at the number reflected in the notification letter to discuss what information is currently available. It may be possible to begin the audit with the information available rather than postpone the appointment.
The quicker the audit begins, the quicker it can be resolved. In addition, if the initial appointment is scheduled beyond 45 days from the initial action, managerial approval is required.
 

• How far back can the IRS go to audit my return?

Generally, the IRS can include returns filed within the last three years in an audit. Additional years can be added if a substantial error is identified.
Generally, if a substantial error is identified, the IRS will not go back more than the last six years.
The IRS tries to audit tax returns as soon as possible after they are filed. Accordingly most audits will be of returns filed within the last two years.
If an audit is for an older year, you may be requested to extend the statute of limitations for assessment of your tax return.
The statute of limitations limits the time allowed to assess additional tax. The statute of limitations is generally three years after a return is due or was filed, whichever is later. There is also a statute of limitations for making refunds.
If the IRS Tax audit is not resolved and the statute of limitations date is nearing, you may be asked to extend the statute of limitations date. This will allow you additional time to provide further documentation to support your position, request an appeal if you do not agree with the audit results, or to claim a tax refund or credit.
It also allows the IRS time to complete the audit and provides time to process the audit results.
You do not have to agree to extend the statute of limitations date. However, if you do not agree, the examiner will be forced to make a determination based upon the information they currently have.
Therefore, the examiner may not be able to consider additional adjustments, such as expenses, that could lower the amount of tax due.
If you live in the Miami area and you are looking for IRS tax audit representation contact us today for a free initial tax consultation.
We are the affordable tax experts who have been in private practice in South Florida since 1982.

Miami – IRS Tax Audit Representation – Former IRS Managers/Agents -Tax Audit Experts, Affordable

Tax Audit IRS – Tax Audit Representation, Former IRS Audit Agents, Ft. Lauderdale, Miami, Palm Beaches

by Fresh Start Tax | May 14, 2013 | IRS Tax Audit

Tax Audit IRS – Audit Representation, Former IRS Audit Agents, Ft. Lauderdale, Miami, Palm Beaches   954-492-0088

 
We are comprised of former IRS agents, managers and tax instructors that worked out of the South Florida IRS offices for over 60 years.
We worked in the local, district, and regional tax offices of the Internal Revenue Service.
We have handled a countless number of IRS Tax Audits as former IRS agents in the local South Florida tax offices and in private practice. We are IRS tax audit specialists.
We have worked as office auditors, revenue agents, and former IRS appellate agents as well as supervisors and managers in the local IRS offices.
Also on staff tax attorneys, certified public accountants and enrolled agents for all your tax needs. We are a full-service office and all our work is done in-house. We are used by other tax firms to handle their IRS tax problem because of our expertise and specialty in South Florida.
If you are going through a IRS tax audit from the IRS and need tax audit representation you will be best served always by hiring a former IRS agents and managers who knows the exact process and tax defenses are available to you as you are going through a tax audit from the Internal Revenue Service.
Contact us today for a free initial consultation and see if we can minimize your pain and problem you are going through as a result of a tax audit from the Internal Revenue Service. We are tax audit representation specialists
 
 

IRS Tax Audit Information

 
 
IRS audits 1.1% of all personal income tax returns.
If you won the IRS audit lottery you should never go into IRS unrepresented for an IRS audit. As a former IRS agent seeking good professional tax will in the long run save you aggravation, grief, stress and keep money in your pocket in the long run.
If you have received an IRS letter or notice that you are going to undergo an IRS tax audit is in your best interest to call former IRS agents and managers who know all of the protocols, techniques and tax defenses to best defend your tax return that is undergoing an IRS tax audit.
 
 

Why were you selected for a IRS Tax Audit

 
 
U.S. taxpayers have always wondered how and why they were selected for an IRS Tax Audit.
The IRS audits over 1.4 million tax returns by correspondence mail every year . The more money you make the greater chance of an IRS audit.
The answer may seem overly simple, but most people do not have knowledge of the audit process. The DIF score is one of the primary factors for a tax audit by IRS.

Each tax return is issued a DIF Score (Discriminatory Index Function). According to the IRS, a DIF Score “is a mathematical technique used to score income tax returns for examination potential.”

 
This technique establishes the National Average Guidelines. Generally, if a DIF score is above the national average, then the risk of an IRS tax audit escalates.
The highest scoring tax returns are then forwarded to an IRS Examiner for further review. These examiners work at the regional tax offices of the Internal Revenue Service and do their grading right at the IRS Service Center.
Each tax return has a DIF score on it and the highest DIR scores go to these  IRS tax examiners who work on location for the IRS.
 

So what triggers a high DIF Score?

 
Falling out of the National Average Guidelines in the areas of:
1.Charitable Contributions,
2.Casualty Losses,
3.Home Office,
4.and Travel & Entertainment will affect the tax return’s DIF Score.
 
Other audit triggers are unfiled tax returns and failure to file the FBAR (Foreign Bank and Financial Account) Form. ”
 

How DIF Actually Works

To arrive at the DIF score for each tax return, the IRS computer identifies returns by assigning weights and certain basic tax return characteristics. These weights are added together to obtain a systemic composite score for all tax returns. That score is used to rank all returns into numerical sequence.
Since each return is manually reviewed, if you have an unusually high deduction, attach a copy of the bill, receipt and an explanation to the return.
Those extra steps will probably prevent that tax return from the dreaded IRS Tax Audit.
The number of audits performed annually is also determined by the IRS Annual Budget and Agent availability, region by region.
According to the  Proposed Budget, the IRS has increased appropriations again to increase resources for the Enforcement Division.
This includes investigations, examinations and collections.
If are an in need of assistance for an upcoming IRS audit, please contact the Tax Resolution Specialists at Fresh Start Tax LLC.
 
 

Tax Audit IRS – Tax Audit Representation, Former IRS Audit Agents, Ft. Lauderdale, Miami, Palm Beaches