With the IRS auditing less than one percent of tax returns in recent years, you may be thinking it can't happen to you. But you could be wrong. Especially if you have a lot of business expenses, your tax return is complicated, or you're in a higher income bracket. The good news is that nearly 75 percent of those audits are notices or letters sent by the IRS requesting additional information or clarification. The rest are actual field audits. While you may be tempted to respond to a letter or notice from the IRS, it's not always a good idea even if you have a firm grasp of tax law. Because as friendly as IRS auditors might seem, they represent the IRS--not you.
Sure, taxpayers can and do prevail during IRS audits, but without an experienced tax professional on your side, it's less likely that it will happen...and you just might end up owing the IRS money instead of getting a refund.
• Take care of all audit correspondence
Make sure you take the steps needed to minimize your tax liability
Handle all discussions with auditors to reduce the risk of additional liability Appeal a decision, if necessary
The importance of being represented by a qualified tax professional during an IRS or State tax audit or tax dispute cannot be stressed enough.
If you've received a letter or notice from the IRS or are involved in a tax dispute with the IRS, call us today or submit the contact form below. We're here to help.