If the IRS ever tries to question your return, this DIY tax audit advice can help. With millions of other taxpayers across the country, why did your return get selected for an audit? Well, according to the IRS, you were one of many unlucky individuals. For taxes filed in 2017, about 1 million people received audit notifications. That’s 0.5 percent of all returns! So, no, you’re not alone.
Here’s the good news, however. Just because the IRS chooses to audit your taxes doesn’t mean you’ll end up paying more. You may even get a refund. But you’ll have to prove your case first. Before you think about defending yourself during the audit process, consider these things.
Is Representing Yourself the Right Move?
If you take a DIY approach towards your audit, you might initially save money. You won’t have to pay a firm to represent your case. Saving cash right now may sound appealing to you, especially if you know you didn’t do anything wrong. You reported all your income and only took certain deductions. You shouldn’t have to spend the extra cash to have someone else represent you, right?
You also have to consider there is a chance you made a mistake. Even if you read and reread your taxes, you may not catch an error. A misunderstood tax law or regulation could cost you thousands of dollars. If you owe the IRS more money, they will do everything possible to get it from you. Hiring an outside company for audit representation may seem expensive at first, but they’ll work hard to save you money in the end.
Your Personal Tax Situation Is Unique
You may believe that your tax situation is different from others and that you are the only person who understands how to file your taxes. All the expenses and deductions you took are legitimate. You claimed all the money you made. When the IRS comes knocking on your door, you feel confident that you can make them see things your way. But, is this really the case?
The IRS sees a plethora of tax returns from all sorts of businesses and individuals throughout the year. And they understand the rules and regulations better than anyone. Hiring a professional tax expert is the best way to ensure the IRS resolves your audit in a fair and just manner.
Work with a Tax Expert and Have Peace of Mind
Did your heart skip a few beats when you opened that letter from the IRS? Even if you’re confident you filed your taxes without any errors, audits can happen to anyone, even the most honest of taxpayers. After you take time to process everything, you must decide if you want to handle the audit alone or with the help of a professional. While DIY may seem tempting, remember that you may end up paying more than you planned. Not to mention, you’ll end up dealing with the stress and hassle of the audit without any professional support or guidance.
At Incompass Tax, Estate & Business Solutions, we can help you resolve a tax audit. We have over 28 years of experience defending clients from the IRS. Our team will handle your case from start to finish. No matter how dire your situation may seem, it’s no match for our tax professionals. Contact us to learn why no DIY tax audit advice is as good as the expert services we provide.