Your IRS Problems Can Be Fixed With These Audit Tips

If you have IRS issues, one piece of mail you do not want to receive is a notice from the IRS saying that you're being audited. Don't be alarmed if you receive one. You can breeze through your audit and leave your problems behind with these tips:

• Dismissing the notice will not make it go away! The notice will ask you for a response in a specific amount of time (often thirty days). If you do not respond promptly, the next notice from the IRS might be a bill.
  
  
• Read the notice carefully and follow directions, as the items you need to take to the audit are on it.
  
  
• Save both you and the auditor time by organizing the documents needed for the audit beforehand.
  
  
• Records missing? Request duplicates for the required records you're missing. The audit process will be delayed by missing documents. You have to support your case with records. Don't expect the auditor to request the records for you. This is your responsibility.
  
  
• Bring the necessary documents to the audit. Don't bring any extra documentation to the audit. If a query arises about information that wasn't requested, just tell them the information is at home. The issue will be dropped.
  
  
• Leave your attitude at home.It will not help if you attend the audit angry. If you're courteous and polite, the audit is a piece of cake and the auditor will see things your way.
  
  
• Make duplicates of the required documentation to present to the auditor. If you give the auditor the originals, you won't get them back if they get lost. If you do not have the opportunity to have copies made, ask the auditor to make duplicates for you. Take the originals with you after the audit.
  
  
• Keep what you say at a bare minimum. "Yes" and "no" are safe answers. Supplying the auditor with more information than is necessary will provide him a reason to require even more documentation. For example, you'll be indicating an increase on your income if you tell him that you have purchased a new car or home. This is a red flag to the auditor for the need to investigate you more.
  
  
• As a taxpayer, you have rights. The best option would be to settle at the audit but when needed, know that the right to an appeal is yours.