Receiving a notice of an IRS audit is often extremely stressful and usually triggers visions of stern auditors meticulously examining every detail of your financial history, looking for any reason to penalize you. Fortunately, an audit doesn’t have to be difficult, and most are resolved without incident. If you receive a notification from the IRS, preparing in advance can help eliminate a great deal of anxiety.
What to Do if You’re the Target of an IRS Audit
1. Find Out Why You’re Being Audited
People are audited for a variety of reasons. The first step you should take is to find out what kind of information the IRS needs. Specific activity on your returns could have set off a red flag, or they may need information about transactions with someone else who is under audit. You might have been selected at random, so check the notice number on the notification you received to find out exactly what the government wants from you.
2. Collect Your Documentation
Knowing why you’re being audited will help you figure out what documentation the IRS wants. Go through your files to find the relevant receipts or earning statements, and remember to make copies. Because paperwork can get lost in the process, don’t send your original documentation to the IRS.
3. Hire a Professional
While most IRS audits can be cleared up without serious penalties, you should always consult a skilled professional to guide you through the process. They can help decide what documentation you’ll need and how to submit it, as well as explain the most likely outcomes of the audit.
If you’ve received a notification of an IRS audit, the accounting professionals at Success Tax Relief can serve as your intermediary, fighting for your interests every step of the way. Their team has extensive experience helping people solve their tax problems. Visit their website to learn more about IRS audits, or follow their Facebook for more tips and advice. To speak to an accountant, call (404) 600-1337 for their Atlanta, GA, office or (877) 825-1179 for their La Porte, TX, branch.