Why am I being audited by the IRS in Arizona: IRS help from Tax Debt Advisors, Inc
Why am I being audited by the IRS
The most common reasons include:
- If you are self employed and deal in cash such as restaurants, hair salons and contractors, you are in a high risk of audit situation. The obvious reason—it is easy to put the money in your pocket and not report it on your return.
- If you make large cash deposits into your bank account.
- If you claim deductions that are almost as much as your reported income.
- If you leave off of your return income that was reported to the IRS including W-2’s, 1099”s, and K-1’s.
- Unusually high charitable donations, especially those that are household items that are often overvalued.
- Math errors on your tax return. Using a computer program will avoid the math errors that go unnoticed on a paper return filled out and mailed in on April 14.
- If you are using a tax preparer that the IRS has discovered was overstating deductions and generating large refunds. In most cases, clients coming to us for this reason were actually aware of the practice but chose to ignore it believing that they would not be audited and that the IRS would not hold them accountable for all the interest and penalties and additional taxes if caught.
Use some common sense here and consider the agony that a bad audit will cause you financially and perhaps professionally and with your marriage. This is probably the main reason why so many taxpayers are filing for innocent spouse protection. One spouse, usually the husband is filing joint returns that if audited are going to result in large tax debts. Bad returns are ticking time bombs. The danger is that when the first one is not audited the taxpayer will becomes more bold and continue the practice in the following years and takes greater and greater risks until the IRS knocks on their door.
Scott Allen E. A. – Tax Debt Advisors, Inc.
Why am I being audited by the IRS in Arizona: IRS help from Tax Debt Advisors, Inc
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