When you are being audited by the IRS you will more than likely receive a letter in the mail explaining why you are being audited. After you have received this letter one of the first things that you need to attempt to do is to discover why you are being audited.
There is not that much of a chance of being audited by the IRS. It is widely reported that you on average have less than a 1% chance of being audited by the IRS. If you are in the upper-income category then there is a greater chance that you are being audited.
It is important that you are keeping your tax records for a long time. I recommend that you keep your tax records for up to 10 years. This will save you the headache of having to document anything that the IRS is asking you to document. When you are saving your tax records you should not only save your W-2’s or your 1099’s. You should save all documents that might back up any claims you have to back up. This includes saving all of your receipts.
The chances of you being audited by the IRS is fairly small. However, the IRS Is really going to audit your taxes if they find a big discrepancy. This could include things like a large charitable donation or maybe your income looks really off to the IRS in some way. This is why it is important to keep all of your tax receipts.
It is important to find out exactly why you are being audited by the IRS. This should not be a complicated process. The IRS will generally inform you why you are being audited by the IRS. If they have not detailed why you are being audited then you need to contact them as soon as possible to find out why you are being audited. You also need to considering hiring a Tulsa tax attorney.
Determining, why you are being audited is only half the battle. Once you determine why you are being audited you need to be able back up your claims with documents that you can show the IRS. This will generally come in the form of showing your receipts or documents to the IRS. You should be keeping all of your records on file.
Submitting those receipts to the IRS is the next. It might take the IRS time to verify your receipts. However, once they have them verified you should be good to go as you should have cleared your name.
It is really up to you if you decide to hire a tax attorney to help in this process. Tax attorneys can very beneficial if the IRS is auditing a large portion of your taxes. However, if the IRS only found one discrepancy in your taxes then hiring an attorney could end up not being worth the time. Whenever the IRS contacts you it is very important that you stay in contact with them until the issue is resolved. is your very first post.