IRS Audit – Individual, Business, Payroll – Local Former IRS Agents – Miami, Ft.Lauderdale, Palm Beaches, Key West 954-492-0088
If you were under a current tax audit or received a notice that a current tax return is under IRS Audit investigation call Fresh Start Tax LLC today. We can resolve your IRS Audit problem.
We know the system.
We are comprised of Local Tax Attorneys, CPAs, enrolled agents, and former IRS agents.
As former IRS agents we work as managers and instructors in the local South Florida IRS offices.
We have over 60 years working specifically in the South Florida area and we are aware of all the tax policies, tax codes and tax settlement formulas that can get you tax relief for an IRS tax audit. Whether you are an individual, business or you have a payroll or employment tax audit we can help.
You can call us today for a free consultation and come and visit our offices speak specifically to a tax audit specialist. 954-492-0088
We’ve been in private practice since 1982 and one we are one of the most experienced tax audit firms in South Florida.
Why the IRS audits tax returns
The IRS is committed to provide America’s taxpayers top-quality service by helping them understand and meet their tax responsibilities and enforce the law with integrity and fairness to all.
Employment Tax Audits
In Employment Tax, IRS will maintain the integrity of our current tax system while reducing the Employment Tax Gap through implementation and recommendation of legislative changes, enforcement, education, and outreach.
The tools to accomplish the task include:
a. Front-end compliance,
b. Increasing the number of Voluntary Agreements,
c. Continuation and expansion of Federal and State partnerships,
d. Adoption of an Enterprise-wide approach to resources,
e. Pursuit of automation to improve return classification systems,
f. Addressing the broad range of noncompliance,
g. Eliminating/reducing overlaps and gaps in current processes and procedures,
h. Use of research to better understand the tax gap and assess possibilities for impacting taxpayer behavior,
i. Modifying the compliance environment through legislation, regulation, or other systemic changes, and
j. Ensuring that all remuneration subject to employment tax is reported.
The voluntary compliance rate.
The percentage of total tax revenues paid on a timely basis for tax year 2006 is estimated to be 83.1 percent. The voluntary compliance rate for 2006 is statistically unchanged from the most recent prior estimate of 83.7 percent calculated for tax year 2001.
The tax gap is largely in line with the growth in total tax liabilities. Some growth in the tax gap estimate is attributed to better data and improved estimation methods.
The IRS developed a new econometric model for estimating the tax gap attributable to small corporations which was then applied to newer operational data. Also, large corporation tax gap estimates for 2006 are based on improved statistical methods and updated data.
Finally, the data related to individual income taxpayers continues to improve based on improved estimation techniques and newer data.
The tax gap can be divided into three components:
1. non-filing,
2. under reporting and
3. underpayment.
As was the case in 2001, the under reporting of income remained the biggest contributing factor to the tax gap in 2006.
Under-reporting across taxpayer categories accounted for an estimated $376 billion of the gross tax gap in 2006, up from $285 billion in 2001.
Tax non-filing accounted for $28 billion in 2006, up from $27 billion in 2001.
Underpayment of tax increased to $46 billion, up from $33 billion in the previous study.
Overall, compliance is highest where there is third-party information reporting and/or withholding.
Most wages and salaries are reported by employers to the IRS on Forms W-2 and are subject to withholding.
As a result, a net of only 1 percent of wage and salary income was misreported. But amounts subject to little or no information reporting had a 56 percent net misreporting rate in 2006.
It appears that IRS is willing to spend significant funds to go after those in this gap.
IRS will be targeting those areas such as:
1. non-filers,
2. worker classification,
3. officer compensation,
4. fringe benefits,
5. tip Income reporting, and
6. payment of amounts due.
IRS wants to encouraging Voluntary Compliance
The IRS recognizes the significant benefits that can accrue from working with taxpayers to understand problems and practices unique to a given industry. Voluntary compliance will improve if taxpayers understand their tax obligations.
Tax Compliance is achieved when a taxpayer makes a diligent effort to meet the requirements of the law.
The law requires that the taxpayer take affirmative action to meet his/her legal obligations. Sometimes the taxpayer takes sufficient action to meet the requirements of the law but, because of some unforeseen intervening event, is unable to do so.
Affirmative action recognizes that the obligation to comply with the law is ongoing and requires that the taxpayer continue to attempt to meet the requirements of the law.
IRS Audit – Individual, Business, Payroll – Local Former IRS Agents – Miami, Ft.Lauderdale, Palm Beaches, Key West
