Getting an audit notice from the state department of taxation used to be a scary experience. The IRS isn’t the only government agency that can send you a notice about your taxes. Agencies such as the California State Tax Audit, and the Board of Equalization can also inquire about the taxes you filed. The law places the burden on you to demonstrate that your state income tax return information is correct.

It is always unpredictable when it comes to getting an audit notice or an examination by the IRS. However, plenty of help is available by contacting experienced tax relief attorney like IRS Audit Group Beverly Hills to deal with the taxation authorities on your behalf.

How the State Taxation determines and What State Taxation Authority looking for in a Tax Audit?

State Income tax audits are done primarily as office audits. State taxation authorities use tax audits to determine if you properly reported your income, deductions, exemptions, and credits in your income tax filing. They may request you to provide supporting records in person, on phone, or by mail to prove that your filing is correct.

Auditors cross-match state and federal return data verify that all income reported on information returns has been included on the state return, that deductions taken on the state return are valid, adjust based on audits conducted by the Internal Revenue Service, and conduct domicile investigations.

State Tax Audit Defence Lawyer from IRS Audit Group Beverly Hills
Being selected for a state tax audit is not necessarily an indication of any tax fraud. Even if you don’t have any unfiled tax returns, and are certain that all information you have provided to the state taxation authority is correct, still you may get audited. The state tax auditor seeks to uncover honest record-keeping mistakes, as well as possible tax fraud. It is important to understand that any information you provide to the state tax examiner can and will be used against you.

It is always a good idea to be represented by a tax lawyer provided by from IRS Audit Group Beverly Hills, who understands how to deal with the state taxation authorities in a tax audit.
As an experienced tax attorney from IRS Audit Group, Beverly Hills will explain the standard procedure in a state tax and also elaborate their process to verify the accuracy of a taxpayer’s returns.

Hence, protect your rights by being represented by a tax attorney from IRS Audit Group Beverly Hills, who understands your situation, as well as state and federal tax code. The first and the best thing you can do in the event of a state tax audit is to invoke your right to legal counsel before answering any questions or providing any documentation regarding your case.

What Happens if the State Tax Auditor Uncovers Items which you Cannot Substantiate?
Even if the state tax auditor determines that you owe back taxes (plus any interest payments or penalties that may have accrued), there are several avenues that your tax attorney from IRS Audit Group Beverly Hills can help you. Depending on the situation, your attorney can help you to set up a tax payment plan, negotiate an offer in compromise, seek a penalty abatement or currently not collectible status, or file a state tax appeal.

If you have received notice of examination or documentation from the state taxation authority informing you of your rights during the state appeals process, you should act quickly to obtain legal tax representation. Contact RS Audit Group Beverly Hills California for a free initial consultation today at (310) 498-7508.

An IRS tax audit can be a big issue for you and your business if you have some tax problems.  A few important tax problems like IRS problems and Payroll tax problems can bring the attention of IRS tax audits.

So, what to do if you get audited?  Unfortunately, some unlucky people end up in getting audited.  Here are a few suggestions from IRS Audit Group, Newport Beach.

Seventy percent of audits are just a letter asking for more information about your tax returns, and you’re asked to mail back forms proving your income or deductions.  In other cases, you’ll get an invitation to meet with an agent to discuss your tax forms.  Most of the time the letter you get in the mail is just a simple request for information – the IRS just wants you to mail in your 1099 form, for instance, or they want to see receipts for the business meals you deducted.

If you’re trying to beat an IRS audit without a professional tax relief service, it is like committing suicide as the chance of winning the battle against IRS audit is very low.  There are more chances of a big crash in the battle.

Well there’s no need to panic, but there are certain steps you should take.

Don’t ignore the letter, ignoring the IRS is the worst possible thing you can do.  The situation won’t go away.

You’ll need to grant power of attorney to your audit representative, to let them handle everything while you stay home or doing your business peacefully.

The professional tax representation services form  IRS Audit Group, Newport Beach helps you in different issues like back taxes, unfiled tax returns, IRS wage garnishment, IRS bank levy etc.  The tax matters are very technical and need specialized technical knowledge about various tax issues.  The experts at IRS Audit Group, Newport Beach can get you IRS tax relief if you have any tax problems with back taxes, IRS tax debt, late filing, tax penalties etc.  They can bring you substantial tax relief with their expertise and experience.

That’s why you need not be panic if you can’t find the information they’re looking for, the Tax professional can advise you on your next move.  Tax professional s can help you with analyzing issues, finding appropriate solutions which would result in permanent resolution to your tax problem, thus peace of mind.

Our IRS Audit Group experts can help you to do better against an IRS audit.   IRS Audit Group, Newport Beach is a team of professionals experienced in the field of IRS tax controversy, tax problem resolution experts consist of tax attorneys, EAs (Enrolled Tax Agent Experts), CPAs.  They are experts and they already have the experience of handling various tax issues for different clients.  Handling an IRS tax audit is very simple for them.

IRS Audit Group located in Newport Beach and Beverly Hills, we also have an office in Greater Los Angeles with  15 plus years experience in representing to IRS.

Telephone Number: (310) 498-7508
info@irs-audit-group.com

Before knowing the tips, let us understand what exactly IRS is and what they do? The IRS stands for “Internal Revenue Service” is a government agency of the Federal Government, and its main duty is to collect taxes.  Apart from this, the IRS performs various other related duties.

The IRS ensures that they process all the returns filed each year in order to improve, taxes payments, and issues refunds owed to taxpayers.  Thus, if your return has been set aside for assessment then you need to know tips in order to endure the proper follow up of IRS tax audit.  IRS Audit Group – Beverley Hills has compiled five tips for you now.

Featured article – Tax Audits: Understanding IRS and State Tax Audits

Why am I being audited?

If you are selected for IRS tax audit it does not mean there is a problem.  The IRS compares your tax returns against “norms” by computer screening.  But don’t delay to respond.  Now, here are five tips on IRS tax audit as suggested by IRS Audit Group – Beverley Hills.

1. Responding to the Notice

First and foremost you should not ignore the notice letter instead respond to it within the given time.  If you take the audit notification letter for granted then you might end up paying more money than what was actually required.

If the audit notification letter specifies a field officer then you must call and contact them rather than arranging an office auditor in the home or place of business. If you are a resident of Beverley Hills, then you can take the service of IRS Audit Group.

Featured article: IRS Audit – How far back can you be audited?

2. Enquire the Reason for the Audit

The IRS must and should mention the reason in the notification letter as to why you are receiving this letter, and if you don’t really understand the script then you have every right for seeking clarifications.

You should be very careful about how you are asking questions and avoid all the situations that might bring up some other issue as they would be very precise in your words.  If something pops up which is outside the scope then they might look into that as well.

3. Organize your documents well

Remember that the auditor from the IRS is just a person hired to perform that job and if you present all the necessary documents then their job will be easy and they need not go out to find a problem.  So, as soon as you receive the notification letter you need to organize all the paperwork which is relevant to your case and there are some bills or documents which might come handy, they are:
a) Earning statements like W-2 or 1099
b) Medical Bills
c) Internet bill receipts, etc.

4. Hire a Representative

Sometimes when having a discussion with the IRS auditor you might get frustrated and it might end up in an angry manner so it is always better to hire a representative to talk on behalf of you to continue the talk in a professional manner and this could be a benefit.
In many cases, you can complete the form and your representative can attend the audit meeting for you.  If you are a resident of Beverley Hills, please be in touch with IRS Audit Group – Beverley Hills

5. Know your rights

As an individual taxpayer, you have every right to ask questions during the trial.  So, while you disagree with certain statements put forward by the auditor, you must know your rights, the process and the law behind the deductions.  Becoming more aware of the rules and regulations will make it easier for you to complete the process.

The team at IRS Audit Group – Beverley Hills is available for your services at any time and please be in touch with IRS Audit Group – Beverley Hills.

Telephone Number: (310) 498-7508
info@irs-audit-group.com

How Far Back Can the IRS Audit?

Wondering how far back the IRS can audit you? The Internal Revenue Code, Section 6501, provides the statute of limitations. A statute of limitation is a law that provides a maximum time in which the taxpayer and the IRS must, “initiate legal proceedings from the date of an alleged offense.” Therefore, how far back the IRS can audit you depends on the circumstances of the tax return.

According to the U.S. government, the IRS can request for returns filed within the last three years in an audit. Though the IRS typically does not audit for documents older than 3 years, if there is a significant error upon filing past returns, it is possible for the IRS asking for necessary documents.

The statute of limitations starts on the original due date of the tax return. The statute of limitations starts on April 15th of the year that the tax return was due. So, if you filed your 2013 tax return on April 15, 2014, then the IRS would have time until April 15, 2017, to audit it.  However, if you had requested an automatic extension and filed tax return on Oct. 15, 2014 then the IRS still has time until Oct. 15, 2017, to audit your return and assess any additional tax and penalties due.

Even if you do your best with your taxes, taxes are horribly complex, and you may be asked for more information on IRS collection. Make sure you keep all records to stay ready for any requests by the IRS. Here are a few tips form IRS Audit Group about tax laws that sets a time limit on IRS tax audits, and how far back the IRS can audit.

How far back can the IRS audit you?

Below are the three different time frames and descriptions of when each applies for the IRS to audit your tax return according to the analysis done by tax law professionals at IRS Audit Group:

3 Year Period:

This is the standard amount of time that the IRS has to legally audit tax returns.  This is the time period that applies if you do not fall into any of the two categories listed below.

6 Year Period:

If the income on the tax return was understated income by 25 percent or more, the statute of limitations to audit the return can be extended by another 3 years.  It is worth noting that the IRS doesn’t consider any amount as omitted from gross income if you disclose it in the tax return, or in a statement attached to it.

Unlimited Time Period

When there is a massive amount of tax understatement, the IRS legally has six years to confront the return. However, there are three exceptions which extend it to an unlimited time period.

In the event of one of the three exceptions, the IRS has an unlimited amount of time to audit and charge penalties and interest rates. Specifically, you may be subject to accumulate taxes, penalties and interest without any time limitation if one of the three exceptions apply:

1.      The Taxpayer Filed a false tax return,
2.      The Taxpayer attempted to illegally evade paying taxes
3.      The Taxpayer Failed to file a tax return.

How Long Does IRS Audit Process Take?

An audit may seem like it takes an eternity. For some people, an audit will take longer than others. The IRS cannot determine exactly how long an audit will take; however, the IRS, too, is in favor of a speedy process. In other words, the IRS would like to get the procedure completed as soon as possible. Numerous items can prolong an audit — we suggest visiting the IRS website for a thorough elaboration, though, IAG has created a quick analysis on what may extend an audit process time.

Delaying by not providing

Not providing the IRS with the documents in time can lead to further issues with the IRS, and prolonging the audit process time. It is not recommended to delay the documentation simply buy some time.

Other reasons for a delay

An audit can likely lead to disagreements. And sometimes you may not be able to meet on time because of conflicting schedules. These conflicts are to be expected, and the IRS does attempt to work with the auditees to try and make sure that it runs smoothly.

Causing a delay is not a wise idea. This can upset the auditor, and one of the most important things to remember during an audit is that the IRS is a bold collection agency. They can freeze your accounts; garnish your paychecks; and take away property and assets. With all of the power they wield, to not delay. Instead, speak to a certified tax professional to know more about an extension period.

Disagreement On How Far Back The IRS Can Audit

Disagreements are normal, and it is likely that the auditee and the auditor may not agree on certain aspects of a return or findings. IRS Audit Group has tips on how to treat a disagreement assertively.

How to handle a disagreement

If you do not agree with the findings in an IRS audit, one can request mediation and to speak with an IRS manager. It is even possible to appeal the findings. However, this may only be possible if it is still within the statute of limitations because, as mentioned above in How Far Back Can the IRS Audit?, it can depend on how far back the IRS can audit you. But first, IRS Audit Group we advise to consult with a tax attorney beforehand. To learn more, speak to a tax attorney or consultant at IRS Audit Group.

It can get worse

What happens if you do not comply with the IRS’ notices? The problem remains, and interests and penalties may accrue — in short, a delay. Disagreements in how to handle a certain deduction or how to handle incoming funds can delay things further. It is possible that these disagreements would require the auditee and the IRS to go to tax court. We highly recommend to not resort to these methods, or go to tax court without proper representation and consultation. Regardless, as a taxpayer or auditee, it is imperative to know and fully understand Your Taxpayer Rights.

Learn More

If you are still unsure, do not hesitate to reach out for help. If you have more questions regarding taxes, and IRS audits, contact us. Our knowledgeable operators will connect you to a competent tax attorney at IRS Audit Group offices in Beverly Hills or Newport Beach. Regardless the tax situation, we will help resolve your tax matters assertively, efficiently, and responsibly. We serve customers nationwide.

Telephone Number: (310) 498-7508
info@irs-audit-group.com

When you get a notice from IRS for State Audit, it evokes a mix of responses and you may get frightened.  If this is the first sales tax audit your business has experienced, your first reaction may be to panic, and wonder why you were chosen.  If you have previous tax audit experience, you may be a bit more relaxed, but the inconvenience and disruption caused by tax audit may have you looking for ways to delay the audit until a better time.

Regardless of your reaction, there are important steps to be taken while preparing for sales tax audit.  There are also serious things for you to avoid as you deal with the tax auditor.  When it comes to sales tax audit preparation, and audit management it is different.  It depends on each business and each state audit and these suggestions need to be evaluated in light of your specific situation and the types of transactions your business conducts.

States Audit

State sales tax audits are conducted for a number of reasons.  First and foremost, the states will tell you that the audit is to make sure that the state sales tax laws are being followed by the businesses.  In reality, the tax audit is a significant and effective way to increase tax collections and state revenue.  Although auditors are not generally evaluated or compensated on the number of audit collections they generate, the unspoken expectation is that they will collect enough unpaid tax to cover a multiple of their salary.  Tax Audits improve state revenue straight through the valuations of tax, interest, and penalties paid by the taxpayer. It will also result in future increased tax payments of the business once the errors have been identified and corrected.

In addition to generating immediate tax revenue, sales tax audits also provide productive and valuable information for future audit leads.  As auditor gathers more information on untaxed purchased made by from out-of-state companies, this information is further evaluated.  This often leads to link inquiry from being sent to these out-of-state businesses that may be audited if it can be proved that they have the connection with the state

Finally, audits provide a very clear picture as to what types of transactions are occurring in the marketplace.  States laws and regulations delay significantly from realities of the marketplace.  As auditors see new sales transactions and new types of products/services being sold that do not neatly fit into the existing tax framework, they often give this data to the tax policy folks.  This will further result in the change of regulations to better define the tax treatment of the transactions.

To sum it up to states audit in order to:

• Collect revenue for the state
• Make sure businesses within the state are collecting sales tax (and in the right amounts)
• Generate future revenue for the state as businesses become compliant
• Find out-of-state trades that may possibly have connection in-state
• Find out what types of transactions are occurring in the marketplace in order to make new tax laws.

Despite of all these things, the first step you need to do is to avail the service of qualified and experienced auditors.  IRS – Audit- Group is a team of Tax Professionals, CPA’s and Enrolled Agents who major in in Tax Audit Representation & Resolution.  Besides the IRS, agencies such as the California State Tax Audit and the Board of Equalization can also inquire about the taxes you filed.  Complete the Audit process with ease and stress-free with IRS AUDIT GROUP.

Telephone Number: (310) 498-7508
info@irs-audit-group.com

Below are steps taxpayers can take now to ensure smooth processing of their 2017 tax return and avoid a delay in getting their refund next year. The Internal Revenue Service (IRS) advises taxpayers to get ready for the upcoming tax filing season by gathering documents, renewing expiring ITINs, and get prepared for refunds.

For additional help, hire a tax expert, like our team at IRS Audit Group to guide you through the process. It is better to get a head start to prevent missteps later. As we enter the tax season, contact us to book an appointment and we can review everything together so you don’t deal with another year of tax stresses on your own.

Start by gathering documents. File a complete and accurate tax return by making sure the IRS has all the documents before filing your return, including 2016. This includes Forms W-2 from employers, Forms 1099 from banks and other payers, and Forms 1095-A from the Marketplace for those claiming the Premium Tax Credit. Doing so will help avoid refund delays and the need to file an amended return later. Confirm that each employer, bank or other payer has a current mailing address.

Renew Expiring ITINs before the end of the year. Doing so promptly will avoid a refund delay and possible loss of key tax benefits. Any ITIN not used on a tax return in the past three years will expire on Dec. 31, 2017. Similarly, any ITIN with middle digits 70, 71, 72 or 80 will also expire at the end of the year. Anyone with an expiring ITIN who plans to file a return in 2018 will need to renew it using Form W-7.

Refunds Held for Those Claiming EITC or ACTC Until Mid-Feb: By law, the IRS cannot issue refunds for people claiming the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC) before mid-February. The law requires the IRS to hold the entire refund — even the portion not associated with EITC or ACTC.

The IRS expects the earliest EITC/ACTC related refunds to be available in taxpayer bank accounts or debit cards starting on Feb. 27, 2018, if direct deposit was used and there are no other issues with the tax return.

For a faster refund you can choose to e-file or use direct deposit. Electronically filing a tax return is the most accurate way to prepare and file. Errors delay refunds and the easiest way to avoid them is to e-file. Nearly 90 percent of all returns are electronically filed. There are several e-file options:

• IRS Free File,
• Volunteer Income Tax Assistance and Tax Counseling for the Elderly programs,
• Commercial tax preparation software, or
• Tax professional

Combining direct deposit with electronic filing is the fastest way for a taxpayer to get their refund. With direct deposit, a refund goes directly into a taxpayer’s bank account. There’s no reason to worry about a lost, stolen or undeliverable refund check.

Telephone Number: (310) 498-7508
info@irs-audit-group.com

Do you have tax debt, but don’t know what to do about it? You definitely shouldn’t let the letters and notices pile up – especially if they’re coming from collection agencies who are after money owed to the Internal Revenue Service. You also don’t have to face the IRS alone. When it comes to settling tax debt, it helps to have someone by your side.

According to Publication 594 of the IRS, “The collection process is a series of actions that the IRS can take to collect the taxes you owe if you don’t voluntarily pay them. The collection process will begin if you don’t make your required payments in full and on time, after receiving your bill.”

Sometimes it’s not as easy as paying off what you owe. In most cases, you’ll need the help of a tax professional to negotiate with the IRS. Our enrolled agents have seen countless cases, varying in amount owed and levels of difficulty, but each time they have been successful in relieving taxpayers of monetary burdens.

Learn about the several ways to pay or reduce costs and let us know how we can help:

• Installment Agreement/Payment Plan – Similar to a monthly credit card payment. The IRS payment plan would allow you to pay off your unpaid back taxes in installments instead of all at once.
  
• Offer in Compromise – Settle your tax debts for less than what you owe. This could save you thousands of dollars in taxes, penalties and interest if you are given the opportunity to pay that small amount as a full and final payment.
  
• Not Currently Collectible – This means that a taxpayer has no ability to pay their debts. The IRS can declares them “currently not collectible” only after the receiving evidence that there is no ability to pay.
  
• Bankruptcy – You should consider bankruptcy only if you meet the requirements for discharging your taxes. Income tax debts may be eligible for discharge under Chapter 7 or Chapter 13 of the Bankruptcy Code.
  
• Fresh Start Initiative – Under the new and more flexible rules issued by the IRS, taxpayers do not have to disclose extensive financial details to the IRS to judge their paying ability. This initiative offers several advantages.

If you are familiar with our services then you know IRS Audit Group can help you with any of the options listed above. With our advice, you’ll be one step closer to achieving financial stability and getting back on your feet. We are experts in tax debt resolution and are ready to work on your case. Call us today to get started!

Telephone Number: (310) 498-7508
info@irs-audit-group.com

As always, scammers who impersonate Internal Revenue Service officers are still a threat to taxpayers. They have been tricking innocent people and robbing them of money and peace of mind. We’ve compiled a list to help you determine real IRS representatives from fake ones so you can protect yourself:

• The IRS is NOT aggressive in their approach. Scammers are typically rude over the phone and easily agitated.
• The IRS does NOT initiate contact with taxpayers by email, text messages or social media channels.
• The IRS does NOT mention law enforcement efforts such as: local police or immigration officers.
• The IRS mails notification letters to taxpayers if they owe any taxes and do NOT request immediate payment via wire transfers. (Payments must only be sent to United States Treasury)
• Taxpayers can request credentials for the representative to prove they are there for an IRS visit.

Following these tips will keep you safe, but if you find yourself in a sticky situation you can always give IRS Audit Group a call. We’ll help you avoid this in the future and verify that your information is in good hands. Also, share this blog so your family and friends can steer clear of scammers as well.

Telephone Number: (310) 498-7508
info@irs-audit-group.com

If you’ve requested a six-month extension to submit your taxes then your deadline is coming up quick! October 16, 2017 is the last day to file your individual or corporation return. This includes the 1040, 1040A and 1040EZ or 1120 tax forms. Beware of penalties for late payments or filing.

Don’t let this extra time go to waste. Be sure that you file your return immediately and see if you qualify for common credits and deductions. Low and moderate income families may be eligible for special tax benefits as well.

According to the IRS, you could also receive credit if you’ve paid college tuition or fees in the last year. Same goes for those that have made their homes energy efficient.

E-filing will reveal guides and tips to help you complete your return, but you can also call us for a one-on-one consultation with a tax professional. If you’ve missed important deadlines in the past or fear you won’t get the paperwork done in time for the upcoming deadline please give IRS Audit Group a call to learn how we can help resolve your tax issues ASAP.

Telephone Number: (310) 498-7508
info@irs-audit-group.com

If you got an extension on your taxes earlier this year, the time has now come to submit your returns. The business tax deadline is approaching on September 15 and you don’t want to miss it!

If you want to be sure everything is done quickly and accurately, then contact us today! IRS Audit Group is ready to help and we are just a call or click away. Don’t waste another second wondering how you will complete all the paperwork in time – we got you covered.

For those of you that have yet to file, remember that the Personal Tax Extension Deadline is coming up as well on October 15.

Telephone Number: (310) 498-7508
info@irs-audit-group.com