IRS Audit Notice Tax Help – For Best Results Use Former IRS Agents
Being Former IRS Agents and Managers we can tell you,it is not in your best interest to represent yourself during a IRS audit.
The IRS auditor has the ability to dig deeper into your tax return or go forward into another year. You must be careful what you say because sometimes you could dig a little deeper hole.
I should also say if you have a squeaky clean tax return and no skeletons in the closet I see no reason at all why you cannot represent yourself during an IRS tax audit.
You only call a tax professional when you receive an IRS audit notice and truly need tax help because you are not sure some of the issues on your tax return.
Facts of IRS Audits
The Internal Revenue Service audits 1.03% of all tax returns filed.
If you have just received an IRS audit notice contact us today and get the professional tax help you need. We are the affordable tax firm. We provide expert IRS Audit Notice Help.
Nationwide the IRS audits 1.5 million tax returns per year. 359,000 are actually audited by local IRS agents and rest are by mail or correspondence tax audits.
IRS collects $10.2 billion a year as a result of IRS audits by field agents and $5.2 billion a year by document matching programs.
What is an IRS audit?
An IRS audit is a review, examination of an organization’s or individual’s accounts and financial information to ensure information is being reported correctly, according to the tax laws, to verify the amount of tax reported is accurate.
The Tax Audit Selection Process
Selecting a return for audit does not always suggest that an error has been made.
Returns are selected using a variety of methods including:
- Random selection and computer screening , sometimes returns are selected based solely on a statistical formula.
- Document matching, when payor records, such as Forms W-2 or Form 1099, don’t match the information reported.
- Related examinations, returns may be selected for audit when they involve issues or transactions with other taxpayers, such as business partners or investors, whose returns were selected for audit.
- Sometimes tax returns are audited because spouses and ex-employees report findings to the Internal Revenue Service.
Audit Methods
An audit may be conducted by mail or through an in-person interview and review of the taxpayer’s records.
The interview may be at an IRS office (office audit) or at the taxpayer’s home, place of business, or accountant’s office (field audit).
The IRS will tell you what records are needed.
Audits can result in no changes or changes. Any proposed changes to your return will be explained in writing.
Audit Notification
Should your account be selected for audit, you will be notified in two ways:
1. By mail, or
2. By telephone
In the case of a telephone contact, the IRS will still send a letter confirming the audit.
Rights During an Audit
These taxpayer rights include:
1. A right to professional and courteous treatment by IRS employees.
2. A right to privacy and confidentiality about tax matters.
3. A right to know why the IRS is asking for information, how the IRS will use it and what will happen if the requested information is not provided.
4. A right to representation, by oneself or an authorized representative.
5. A right to appeal disagreements, both within the IRS and before the courts.
Audit Length
The length of each audit varies depending on the type of audit, the complexity of items being reviewed, the availability of information being requested, the availability of both parties for scheduling of meetings and your agreement or disagreement with the findings. as a general rule if you are scheduled for office audit those can last from week to three weeks. Sometimes if an IRS revenue agent is auditing your tax return it can take anywhere from a month to a year.
Records Needed
You will be provided with a written request for specific documents needed.
The law requires you to retain records used to prepare your return.
Those records generally should be kept for three years from the date the tax return was filed.
The IRS does accept some electronic records. If records are kept electronically, the IRS may request those in lieu of or in addition to other types of records. Contact your auditor to determine what can be accepted to ensure a software program is compatible with the IRS’s.
Audit Determinations
An audit can be concluded in three ways:
1.No change: an audit in which you have substantiated all of the items being reviewed and results in no changes .Great news here.
2. Agreed: an audit where the IRS proposed changes and the taxpayer understands and agrees with the changes.
3. Disagreed: an audit where the IRS has proposed changes and the taxpayer understands, but disagrees with the changes.
What Happens When You DISAGREE with the Audit Findings?
A conference with a manager may be requested for further review of the issue or issues. In addition, Fast Track Mediation or an Appeal request may be filed.
Contact us today for free initial tax consultation .
Professional Tax Representation
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Areas of Professional Tax Practice:
- Same Day IRS Tax Representation
- Offers in Compromise or IRS Tax Debt Settlements
- Immediate Release of IRS Bank Levies or IRS Wage Garnishments
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- Release of IRS Bank Levies or IRS Wage Garnishments
- Tax Relief from a IRS Bill, Letter or Notice of “Intent to Levy”
- IRS Tax Audits
- IRS Hardships Cases or Unable to Pay
- Payment Plans, Installment Agreements, Structured agreements
- Abatement of Penalties and Interest
- State Sales Tax Cases
- Payroll / Trust Fund Penalty Cases / 6672
- Filing Late, Back, Unfiled Tax Returns
IRS Audit Notice Tax Help – Best Results Use Former IRS Agents – Affordable