A tax audit is a process the IRS uses to determine whether you (the taxpayer) have paid the correct amount of income taxes. Audits are generally conducted by the IRS on approximately 1% of all individuals or businesses each year. While this is a relatively small percentage, it does impact millions of people each year and it is important to know what to do if you receive an audit notice from the IRS. Some helpful tips are included below:
- Audits are very often completed entirely by mail. In the majority of cases, you will never meet face to face with a representative from the IRS.
- Most audit requests focus on one particular aspect of a tax return and request specific information on that specific item – not on your entire tax return. For example, the IRS may request supporting documentation about your itemized deductions or donations.
- It is generally recommended that you keep all supporting tax documentation from your annual taxes for three full years. If you have the supporting documentation requested by the IRS, then responding to the audit should be no problem. If not, well, keep in mind that there is usually another way to obtain this information. You can very often request this duplicate documentation from the original source… for example, you can often get duplicate documentation from your medical office(s), from a charity, from your employer, or the bank or company managing your retirement benefits.
- Stay calm and do not ignore the request from the IRS. The best strategy for responding to an audit request is to respond quickly, respectfully, and completely. Ignoring the request will just elicit additional notifications. The IRS does not typically ever “forget” to follow-up. Ignoring the request can even call additional attention to the tax return in question.
- Submit the information requested by the IRS, nothing more, nothing less. Certainly never hide anything from the IRS, but do not think it will be helpful to send the IRS lots of other extraneous information either. A cover letter can be helpful – especially if you need to explain a potential error.
- Be prepared to pay, should it be determined that you owe the IRS money. You will only have 30-90 days to pay, so be ready to pay fairly quickly after the IRS makes its ruling.
- Be ready to get help in case you need it.
While most audit requests are routine and fairly easy to respond to, there are instances that can be complicated and you may need some additional help. Success Tax Relief has extensive experience managing all kinds of IRS audits – from simple to difficult, personal or business and we often resolve these very quickly and easily. Call 1-877-958-6638 for a free, no obligation consultation.
There are several instances in which you will want to consider hiring help to manage your audit. Below are a few of the more common reasons or complications:
- If you receive repeated requests from the IRS
- If you do not think that you have appropriate or adequate documentation to submit
- If the IRS requests an in-person audit. If this happens to you, the IRS wants to verify your employment or income status. These can be some of the most complicated audit requests.
- If you disagree with an audit ruling
In these complex cases, an outside firm can serve as an intermediary between you and the IRS and may have a much better sense of exactly what the IRS is looking for in order to resolve the issue. Success Tax Relief specializes in audits and can quickly assess your risk and help you determine the best strategy for responding to the audit request.
A tax audit can be stressful and time consuming and often does not work out in your favor. Responding to any kind of audit request requires a lot of time, a high level of detail, follow-through and, most of all, patience. Even with routine requests, it might be easier to reach out for help so that you can put the request behind you and restore your peace of mind.
Success Tax Relief has over 30 years of experience resolving all kinds of difficult tax problems, including audits. We fight for each and every one of our clients, and we know what to expect from the IRS and, more importantly, what they are looking for. This gives you an advantage and a better chance for resolving your problem and putting it behind you once and for all. Our team of experienced tax professionals is ready for your call and ready to get to work for you. We are trained in all aspects of tax preparation and have direct experience working with representatives from the IRS.
Testimonial from one of our valued clients:
“I was shocked, and afraid when I receive a letter from the IRS about an audit and the fact I owed $54,000, I didn’t know what to do. I did some research and called Success Tax Relief. They immediately began working on my case and reviewing my taxes and found errors the IRS had made. In fact, the IRS owed me a refund of $4800.00! Thank you Success Tax Relief” said Tammie S. from California
If you have received correspondence about an audit or any other tax problem from the IRS, give Success Tax Relief a call at 1-877-958-6638 today. The sooner you call, the sooner your issues will be resolved and the sooner you can move on and get back to the more important things in your life. Save yourself the time and stress and call on us. You will not regret it. Our rates are both low and very competitive and worth every penny for your peace of mind. We will work with you every step of the way and will not stop until you are satisfied that your issue is fully resolved. Our strength is in our communication with the IRS – this is what we do every single day so that you do not have to.