Many taxpayers are unaware of the IRS Audit process. Despite the high level of risk involved, the IRS is always willing to hear from taxpayers who have been the subject of an audit. If you have received notice from the IRS, here are a few tips to help you avoid a tax problem in the future. Read on to learn more. If you believe that the IRS has unfairly handled your tax situation, you should contact the Treasury Inspector General for Tax Administration (TIGTA).
Follow a few steps:
First, you should know what to expect during an audit. The IRS usually looks at the last two years of tax returns, but it can also look at more recent years. The agency can also request an extension of the statute of limitations if necessary, but it’s not required. This can have significant consequences. The IRS may also choose not to conduct the audit if you have a significant risk. As a taxpayer, you have access to be represented by an experienced tax attorney.
When you receive an IRS audit notice, you should gather all your documents and financial records. You should be aware of your particular problem and determine if you want representation or not. Collect all of your documents and make copies of everything you can. Be sure to organize them by year, type of income, and expenses. If your tax returns have changed in the past, consider having a bookkeeper present to answer questions about your financial records. If you have any queries in your mind, be sure to ask for copies right away.
Provide accurate documentation:
The best way to handle an IRS Audit is to provide accurate documentation. If you are unsure of what documents you need to submit, contact your tax attorney to ensure you have all of the information they need to process your return. A tax professional can help you avoid unnecessary IRS inquiries and help you prepare your documents. Remember that the IRS collects money and not your financial details.
An IRS audit can be a sometimes stressful and overwhelming experience. However, you can take steps to minimize the risk of an audit. An auditor will review your tax return to determine substantial accuracy. If you are unsure of the facts of your tax return, a good accountant will assist you. An accountant will help you understand the implications of the audit, and the best strategy is to get a lawyer as soon as possible. A skilled accountant will also be familiar with your tax situation.
An IRS audit is one of the most stressful situations a taxpayer can face. Fortunately, there are several ways to handle an audit. The IRS will interview you or your company, which will make you feel comfortable with them. The agent will also examine your tax returns. It is essential to get your records in order before the IRS starts the examination.
You must understand your tax situation to avoid an IRS Audit. Obtaining the assistance of a professional is a good idea. Most taxpayers are happy with the results of their tax returns. Moreover, most taxpayers trust the IRS to apply tax laws fairly. So, you must have a lawyer when facing an audit. You may also need to hire a professional to represent you. You should also remember that you should never give up if you do not owe the tax.
Besides hiring a tax attorney, you can also hire a bookkeeper. An accountant is an invaluable resource for the IRS and will help you keep all your records in order. A professional will help you prepare for the audit. If you have an employee, it is good to have them present. In addition to hiring an attorney, you can also have your bookkeeper present during the audit.