Tax audits are not necessarily a bad thing

On Behalf of | Nov 22, 2019 | Tax Audits

The word audit can strike fear into the hearts and minds of just about anyone. No one wants to get a letter from the Internal Revenue Service saying they are being audited. The simple truth of the matter is, tax audits are not necessarily a bad thing, and Connecticut residents who find their taxes being picked apart by the IRS may not have anything to worry about.

Considering all of the people in the United States who pay taxes, the number of them who are audited every year seems quite small. The IRS is not looking for a reason to audit every taxpayer. There is no realistic way that it could do that. IRS agents are only looking for very specific red flags when reviewing tax returns. On occasion, random people may be selected for audits, even if their tax returns seem in order.

If you recently received notice that you are being audited, now is the time to act. Do not avoid the notice. Do not just wait for the problem to go away. Finally, do not stress just yet.

Your audit notice will give you very specific information about who you need to contact about your case, how to contact that person and what information the IRS needs from you to get through its investigation. You may set up a time to do the audit in person, or it can be completed by mail. No matter which way you go about it, you do not have to go through the process alone. You have the right to have legal counsel help you.

Tax audits do not always result in Connecticut residents having to pay fines, penalties and even more in taxes. There is no way of knowing exactly how yours will turn out until you go through it, and even then, you have the right to appeal the final decision. So, take your audit one step at a time, and take a moment to visit our firm’s website to learn how having legal counsel at your side can be of benefit to you throughout the audit process.