IRS Problems: Audit Tips

If you have IRS problems, a piece of mail you don't want to receive is a notice from the IRS saying that you are being audited. Do not panic if you receive one. With the following advice you can go through your audit and leave your IRS issues behind:

• The notice won't go away if you dismiss it. The notice will ask you to reply in a specific amount of time (typically thirty days). If you don't respond promptly, the next notice from the IRS could be a bill.
• The notice will tell you what items you'll have to take to the audit.
• Organize all the documents needed for the audit to save both you and the auditor time.
• Records missing? Request duplicates for the needed records you're missing. The audit process will be delayed by missing documentation. You'll need records to support your case. The auditor won't get the records for you. It's your responsibility.
• The documents required must be the only ones you should bring to the audit. If documents that weren't requested were brought up, let them know that the information is not at hand.
• Leave the attitude at home.Don't go to the audit angry because it will not help. If you're courteous and polite, the audit is a piece of cake and the auditor will be more likely to see things your way.
• Do not bring original documents.Present copies of the documents to the auditor. If you give your originals to the auditor and they get lost, there is nothing you can do to get them back. If you do not have the opportunity to have duplicates made, ask the auditor to make copies for you. Don't leave the audit without the originals.
• Keep what you say at a minimum. "Yes" and "no" are safe answers. Supplying the auditor with more information than is needed may provide him a reason to require even more documentation. For example, you will be indicating an increase on your income if you tell him that you have purchased a new car or home. This could be a warning to the auditor for the need to investigate you further.
• As a taxpayer, you have rights. The best option would be to settle things at your audit but if needed, know that you have the right to appeal.

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Originally posted 2007-11-23 04:03:48. Republished by Blog Post Promoter

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