{"id":1977,"date":"2012-11-12T16:55:40","date_gmt":"2012-11-12T16:55:40","guid":{"rendered":"http:\/\/www.taxdebtadvisors.com\/blog\/?p=1977"},"modified":"2012-11-12T16:55:40","modified_gmt":"2012-11-12T16:55:40","slug":"tax-debt-advisors-inc-information-on-irs-audit-red-flags","status":"publish","type":"post","link":"https:\/\/taxdebtadvisors.com\/blog\/tax-debt-advisors-inc-information-on-irs-audit-red-flags\/","title":{"rendered":"Tax Debt Advisors, Inc.&#8211;information on IRS Audit Red Flags"},"content":{"rendered":"<p>Here is some information about IRS audit red flags for Chandler Arizona residents.\u00a0 Some can be avoided and others cannot.\u00a0 However, if you are entitled to a deduction, take it.\u00a0 Don\u2019t avoid a deduction because it might trigger an audit.\u00a0 Here are the top ten reasons taxpayers get audited:<\/p>\n<ul>\n<li><span style=\"text-decoration: underline;\">Income is too high<\/span>\u2014not much you can do here but it is facts that the higher your income the higher the chances you will be selected for an audit even if you don\u2019t have other audit red flags.<\/li>\n<li><span style=\"text-decoration: underline;\">Omitting income that has been reported to the IRS<\/span>\u2014the IRS computers match up income reported to them, to income reported on your return.\u00a0 If you have omitted a 1099 or W-2, the IRS will send you a notice.<\/li>\n<li><span style=\"text-decoration: underline;\">Large charitable donations of property<\/span>\u2014remember to file form 8283 for donations over $500 and have an appraisal.<\/li>\n<li><span style=\"text-decoration: underline;\">Home Office deduction<\/span>\u2014everyone wants to deduct what amounts to personal living expenses against business income.\u00a0 Remember that the area of your home that you want to write-off expenses must be used exclusively and regularly as your principal place of business.\u00a0 A corner of your bedroom or kitchen is not acceptable.<\/li>\n<li><span style=\"text-decoration: underline;\">Rental losses<\/span>\u2014active participation allows you to write-off up to $25,000 of loss subject to phase out rules.\u00a0 Real estate professionals who spend more than 50% of their time and 750 hours each year can deduct losses with no limitations.<\/li>\n<li><span style=\"text-decoration: underline;\">Excessive business meals and travel and entertainment expenses<\/span>\u2014it just seems to be too tempting for self-employed individuals to try to take advantage of these deductions and the IRS knows that.<\/li>\n<li><span style=\"text-decoration: underline;\">Writing-off 100% of business use of vehicle<\/span>\u2014just reporting a more realistic % can avoid a tax audit in this area.<\/li>\n<li><span style=\"text-decoration: underline;\">Businesses that lose money<\/span>\u2014there must be a profitable business motive.\u00a0 If you are trying to deduct each year losses from what amounts to a \u201chobby,\u201d expect an IRS audit.<\/li>\n<li><span style=\"text-decoration: underline;\">Higher than average deductions<\/span>\u2014deductions that are higher than average compared to income reported is a huge red flag.<\/li>\n<\/ul>\n<p>Scott Allen E.A. of Tax Debt Advisors, Inc. offers a free consultation for Chandler AZ taxpayers and all surrounding cities, and can be reached at 480-926-9300.\u00a0 Tax Debt Advisors, Inc. has been representing taxpayers since 1977.<\/p>\n<p><a href=\"https:\/\/www.taxdebtadvisorsinc.com\/\">www.taxdebtadvisorsinc.com<\/a><\/p>\n<p>&#8211; <a rel=\"author\" href=\"https:\/\/www.taxdebtadvisors.com\/about-me.html\">Scott Allen<\/a> &#8211; <a href=\"mailto:info@taxdebtadvisors.com\">info@taxdebtadvisors.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Here is some information about IRS audit red flags for Chandler Arizona residents.\u00a0 Some can be avoided and others cannot.\u00a0 However, if you are entitled to a deduction, take it.\u00a0 Don\u2019t avoid a deduction because it might trigger an audit.\u00a0 Here are the top ten reasons taxpayers get audited: Income is too high\u2014not much you [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[26,38],"tags":[58],"_links":{"self":[{"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/posts\/1977"}],"collection":[{"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/comments?post=1977"}],"version-history":[{"count":0,"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/posts\/1977\/revisions"}],"wp:attachment":[{"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/media?parent=1977"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/categories?post=1977"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/taxdebtadvisors.com\/blog\/wp-json\/wp\/v2\/tags?post=1977"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}