Why Do Some Taxpayers Get Audited by the IRS?

The Internal Revenue Service (IRS) is responsible for analyzing each and every tax return that they receive. With the substantial amount of data they hold, people from the IRS have the ability to figure if a return is accurate or not. If the items on your return do not match with what they have on record, then you may just have earned yourself an audit.

 

Discrepancies aren’t the only things that the IRS auditors look at. Sometimes, something that appears out of place is all it takes for them to sound the alarm and flag your name for an audit. For instance, having an annual salary of $100,000 and contributing $75,000 in donations is going to appear odd to an IRS auditor.

 

The IRS usually begins auditing questionable tax returns after eight to ten months once all the tax returns have been submitted. Late submissions are not accepted until October. Some taxpayers believe that submitting late reduces the likelihood of an audit. However, there really is no basis for this belief, so it’s always best to submit your tax returns on time, if you can.

 

In the event that you receive a letter from the IRS that says you’re up for an audit, act quickly. Get in touch with a tax relief expert who can address your tax-related questions and concerns as soon as possible.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s