IRS Tax Audits

I have yet to meet anyone who is thrilled when they receive one of “those letters” from the IRS informing them of a tax audit! They are, simply put, NO FUN!

What is the best way to prevent a tax audit? No one really knows for sure. I have my own suspicions on a few things that would trigger an audit from the IRS, but the truth is~ not even the IRS revenue agents know the internal workings of the system when it comes to choosing who gets audited.

So, my advice has always been and continues to be: KEEP IMMACULATE RECORDS! Period! We all have legitimate deductions that we can claim on our tax returns. Keep your receipts and documentation to prove your claims for deuctions in the event of an audit. You will sleep much better after receiving one of “those letters” if you know that you have records to substantiate everything on your tax return. 

If you do receive an IRS letter informing you of an audit, E-File Florida is prepared to represent you before the IRS, if you so choose. Only CPA’s, Tax Attorneys and Enrolled Agents (EA’s) can represent taxpayers before all administrative levels of the IRS. While CPA’s and Tax Attorneys are licensed by their prospective state, only Enrolled Agents are Federally Licensed by the US Department of Treasury~Internal Revenue Service to practice in all 50 states.

It would be highly recommended to hire representation in the event of an audit. I’ve seen too many taxpayers try to represent themselves only to end up having the audit extend further back to other years that were never in question at the onset because the taxpayer offered a little too much information that seemed questionable to the IRS revenue agent! So, the moral of this story is: Taxpayer Beware of the IRS Tax Audit~They are on the rise!

Feel free to contact E-File Florida by calling (954) 583-8534 or by email at: info@efileflorida.com. We are here as a resource to you. Visit our website at www.efileflorida.com and sign up for our free Tax Tips newsletter.
 

IRS CIRCULAR 230 Required Notice – IRS regulations require that we inform you as follows: Any Federal tax advice contained in this communication (including any attachments) is not intended to be used and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing, or recommending to another party any transaction as tax related matter(s).