What Triggers an IRS Audit?

IRS audits can be triggered by discrepancies in tax returns, high deductions, unreported income, or random selection.

Types of IRS Audits

There are three types of IRS audits: correspondence, office, and field audits, each with different levels of scrutiny.

How to Know If You’re Being Audited

The IRS will notify you via mail if you are being audited—never via phone or email.

Steps to Take When You Receive an IRS Audit Notice

Upon receiving an audit notice, review it carefully, gather necessary documents, and respond within the given deadline.

Documents You Need for an Audit

Essential documents include tax returns, receipts, bank statements, and records supporting your reported income and deductions.

Your Rights During an IRS Audit

Taxpayers have rights during an audit, including the right to representation and to appeal IRS findings.

Common Mistakes to Avoid During an Audit

Avoid common mistakes like ignoring notices, providing incomplete information, or misrepresenting facts during the audit process.

How to Appeal an IRS Audit Decision

If you disagree with the audit results, you can appeal through the IRS Independent Office of Appeals or, if necessary, take legal action.

Read More