A Paper Audit or “Correspondence Audit” is when you are usually missing documentation and the IRS auditor will request the missing or additional documentation to be sent by mail. This is a common type of audit when a taxpayer mistakenly left out a 1099 or W2, or if their file does not match their file from previous years even though employment has not changed. This is usually handled through the mail or by fax with correct submission of documents.

An “Office Audit” is entirely different and usually includes contact from and IRS examiner who will delve into your tax return and financial circumstances. He or she may request various documents and or an explanation of just how you reached the calculations for your deductions. The IRS may also review your bank accounts to determine if the amount deposited matches the amounts specified on your returns. If the amounts differ? You may be in for a serious problem with your auditor. This is why it is so important to have professional expert representation when dealing with IRS officials. Going it alone is just not an option you should consider.

If you are being audited, call us immediately. You do not have time to decide whether or not you need representation. Let’s be clear – you do! If you address the audit alone, and without legal representation, you could subject yourself to financial and legal penalties that could take years to resolve. This is not meant to scare you into action but keep in mind that the IRS examiner has the ability to recommend you – YES YOU – for criminal prosecution. Don’t delay in getting help if you have received an audit notification or intent to audit. We can help.

If you make contact with the IRS for an audit they may make it appear like they are your friend and are only there to help you resolve the “discrepancy” within your tax return. Do not accept this offer to help at face value. While many employees at the IRS may be sympathetic to your plight, it is not their job to assist you in correcting your tax debt liability. It is their job to collect, plain and simple. Information you provide an auditor may not be used in the way you believed it would be and may open you up to additional liability. When an IRS auditor reviews your file, they are looking for compliance with tax law. Any discrepancies or omissions may be interpreted, at their whim, as an intent to defraud the IRS. This is serious and can have long lasting ramifications. Understanding your rights as a taxpayer is the first step in securing expert advice for a tax audit. Don’t let the IRS communicate with you before consulting a tax attorney and receiving expert advice.