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IRS Income Tax Audit Guidelines

This article provides several tricks in order to avoid the unpleasant encounter with the IRS tax man and the eventual audit.

First of all you should verify that your estimations of the return are accurate. Therefore, in case your deductions do not coincide with the averages of other deductions that are part of your income bracket, provide information that justifies them. An explanation should be also included in case your reported income doesn't coincide with that reported in the 1099 form.

Avoid home-office deductions since the possibility of meeting with the tax man are greatly increased. Another factor that greatly increases the possibility of an IRS audit is the submission of a Schedule C, which is required in case you are self-employed.

Another thing you should not miss doing is to sign the return and justify it with thorough records. The return is the place where you should include documents that justify large deductions you have experienced due to medical expenses for example.

Don't forget to ask for an extension if you were not able to meet the deadline for the submission of tax in order to avoid IRS audits.

Final piece of advice

Be organized during the whole year by carefully compiling the important papers throughout the year. Keep in mind that IRS audits may be at any time of the year, for which you will receive a notice. Do your best to be prepared for that moment.

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