This article is a response to a post on a business forum that posed the question- “Who here has been audited?”. Never a victim of an audit ourselves, we have seen way too many victims of poor tax services come for help in this time of need and here’s our take from experience in dealing with real-life audit representations:
- What would you do differently to make the audit situation easier, if you had known it was coming?
- What level of documentation did the IRS ask you to produce to prove your expenses/write offs?
- Did you find your Auditor to be flexible and willing to work with you?
- Did they fight you on any common write offs that many use (i.e. home office? Mileage? Food?)
- Did they try to pierce your corporate veil?
- Did you end up having to pay more? Less? The same?
Keep in mind that an audit is not the end of the world. If you have documentation that supports your write-offs then you are fine. Yes, it is a small inconvenience, but it is not as “dreaded” as most think. The sad reality is there are many tax cheats out there that ruin it for legitimate taxpayers and this is why you might be the “victim” of an overzealous auditor who wants to audit you because of one questionable deduction.
If you find yourself in an audit situation or want to make sure you’re taking your deductions correctly, please contact us for a FREE consultation and one of our Tax Patriots will assist you.
Finally, not all accountants are created equal and the following comment in regard to a so-called “professional accounting firm” was downright horrifying:
This example shows that this so-called professional accountant has either never been through an audit OR wants to withhold this valuable information until they get paid their exorbitant hourly rate, usually north of $150 per hour.
That is why we believe in giving a free initial consultation and disapprove of the “traditional” CPA Firms as well as Tax Attorneys who have the “billable hours” model. Advice should be free! Services rendered and RESULTS are what should have a cost.