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.
- 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.
- 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.
- 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.
- 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
- 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.