Tips For Navigating IRS Audits From A Stamford Tax Pro
Few phrases can strike fear like the words "IRS Audits." We always remind our Stamford clients that having your return selected for a federal tax examination doesn't always suggest that an error has been made. In fact, some IRS audits result in acceptance of the return or even a refund to the taxpayer. No matter what the reason for your audit notice, having a proactive tax services specialist on your side can make all the difference in achieving a favorable outcome.
Proactive Tax Strategies
The best defense is a good offense, and a good accountant knows that tax and business planning don't just end when the client's return is filed. Proactive guidance and assistance - good bookkeeping, business accounting, and assistance with business or individual tax preparation - can greatly reduce your risk of being flagged for IRS audits.
Flags For IRS Audits
As we said earlier, if you've received an IRS audit notice, it's not necessarily cause for concern. The IRS uses a computer scoring system that rates the potential for change on returns based on their experience with similar returns submitted over the years. High-scoring returns are then screened by IRS personnel and referred for further review. Other criteria the IRS says it uses for selecting returns for examination:
- Mis-matched information
- Related examinations involving issues or transactions with other taxpayers
- Large corporate returns are audited annually
- Compliance initiatives, return preparer, or specific market segment connections
- Potential participants in fraud
The tax specialists at SKG Tax take a proactive approach to tax preparation to maximize your deductions, reduce your liability, and head off the risk of IRS audits - call us today to schedule a free initial consultation in Stamford and North Jersey.
Understanding Your Rights
As a taxpayer, your rights should be protected throughout the federal tax examination process. According to the IRS, those rights include:
- Professional and courteous treatment by IRS employees
- Privacy and confidentiality about tax matters
- Knowing why the IRS is asking for information, how the IRS will use it and
what will happen if the requested information is not provided - Representation, by oneself or an authorized representative
- Appeal disagreements, both within the IRS and before the courts
Having a knowledgeable Stamford tax services specialist on your side can protect your rights and help to ensure the best possible outcome for your IRS audit.
What To Do If You Receive An Audit Notice
First, don't panic. Call a local accountant in the Stamford area who offers proactive tax services that set them apart from the cookie-cutter competition - like the pros at SKG Tax. Our firm is committed to providing our clients in Stamford and the neighboring North Jersey communities with affordable accounting and tax preparation and next-level service. Come work with the accountants who know that tax and business planning don't end just because your return has been filed. Call us today at 203-595-5154 to request a free consultation.
Start Planning Today