Have you received a notice from the IRS telling you that your tax return has been selected for examination? Selection for examination means that you are being audited by the IRS. Here’s what to do if you are audited.
If your tax return is selected for examination by the IRS, you may receive the audit in the form of a mail in audit or the IRS may require a meeting with you called a field audit. A field audit is generally more extensive and stressful as you come face to face with an IRS Revenue Agent and you have to take your records to the meeting.
It is important to know, you have the right to be represented before the IRS even if you are in the middle of an examination interview. You can tell the agent and in most cases the agent must suspend the examination until your tax representation is present. Publication 1 states your rights as a taxpayer, and the IRS must follow these rules.
During the meeting the revenue agent will review your records and determine if any additional information or tax years need to be examined. Yes, they can expand the audit to additional years or to other entities that you either have full or partial ownership interests in.
If you are contacted directly by the IRS we recommend you tell them immediately you have representation and want the IRS to contact your representative directly. You are not required to talk to the IRS Agent and anything you tell them could be detrimental to your tax examination.
Financial Solution Advisors, PLLC, P.L. has extensive experience representing taxpayers before the IRS through examinations, notices and inquiries. If you have a tax situation do not wait to talk to a licensed tax professional as tax notices have a limited time to respond. We are available to discuss any questions you may have.