Ins and Outs of an IRS Audit

Learn how to properly manage an IRS audit and minimize any potential tax and penalty exposure.

After a long decline in funding, the Internal Revenue Service (IRS) has received additional funding targeted to enforcement. The IRS has also partnered with advanced technology companies to more easily identify individuals and businesses to audit. Many businesses and individuals are unprepared for a potential IRS audit and, even when contacted regarding an IRS audit, are harming their position by not properly preparing for the audit. This material will help in-house tax professionals, external advisors, and business owners understand the significant risk factors associated with an IRS audit. The material explains how an IRS audit can begin, the types of information the IRS may request, how to address errors identified during an audit, and the natural points were an audit can be resolved. Failure of taxpayers to properly appreciate and proactively address an IRS audit can result in significant civil (and potentially criminal) tax penalties. This information is critical for taxpayers and their representatives.

Learning Objectives

• You will be able to identify audit triggers
• You will be able to differentiate between audit types and processes
• You will be able to differentiate between defenses
• You will be able to identify methods to resolve audit and disputing results