Audits

If you have finished compiling information so that you may file your federal income tax return, we commend you. Getting one’s taxes filed before the deadline (April 18 for this year) is an accomplishment. While you may breathe a sigh of relief, your dealings...

Many people are terrified when doing their taxes, thinking that one small mistake is going to trigger an audit and leave them facing fines, fees and even jail time. They think of the IRS as this aggressive organization that is carefully watching their every move,...

In a few of our posts, we have highlighted the possibility of taxpayers being victimized by fraud when preparing their returns. In some cases, they will be contacted by phone by scam artists posing as IRS agents who threaten to bring suit against an unwitting person...

While a number of our posts at this time of year focus on preparing one’s tax return. After all, who doesn’t want to gain a refund after filing an income tax return? More importantly, who actually wants to write a huge check to Uncle Sam?But what taxpayers...

Before reading this post, you may think to yourself, "Who thinks about tax season during the fall?" The answer is that tax attorneys and accountants generally do. But the better answer is that you should think about it as well. Regardless of whether you are starting a...

The IRS is aggressive in pursuing taxpayers it believes has underreported its income. The agency estimates that the federal government loses hundreds of billions per year in unpaid taxes due to underreported income, according to CBS News. This explains why IRS agents...

The IRS is known to have legendary powers to collect taxes from U.S. citizens. But how did it receive such a reputation? Is it because tax evasion charges was the very thing that brought down organized crime in the 1940's? Is it because tax problems have plagued...

In a previous post we some factors that when present could prompt the Internal Revenue Service to conduct an audit. There are multiple other factors other than the ones we discussed in that post. One of them is divorce.It is likely that most people who are in the...

Over the past decade or so the Internal Revenue Service has increased its reliance on correspondence audits and expects to continue to expand its use of these examinations. When many people think of an IRS tax audit, they likely conjure images in their minds of a...

The phase “income tax audit” strikes fear into the hearts of most people who reside in the Los Angeles, California, area. There is good reason for this as the process is not only intimidating but can be time consuming as well. Audits that do not go well...