Tax audit representation, also called audit defense, is a service in which a tax attorney stands in on behalf of a taxpayer during an IRS tax audit.
During an income tax audit or examination, the IRS allows a taxpayer to have an attorney. In an audit defense, we would work to develop a strategy to defend you from the IRS. We would help you prepare all necessary documentation and handle ALL correspondence with the auditor.
Sometimes, taxpayers are audited. This does not necessarily mean that you did anything wrong. Many audits are simply the IRS seeking additional information about a tax return.
There’s no need to lose sleep over it, but you do need to take action.
Ignoring the IRS is the worst possible thing you can do. The situation won’t go away. However, you should not contact the IRS. You are not under any obligation to speak with an auditor. (Our clients NEVER speak with or meet with IRS auditors). In fact, you shouldn’t. It is the worst thing you can do. That isn’t to say that you should do nothing. Quite the contrary. You should hire a tax attorney who can speak with the auditor for you.
Many tax payers either try to handle the audit themselves or have their tax preparer handle the audit. This normally does not work out well because most tax return preparers do not handle IRS audits on a daily basis. The IRS can easily intimidate them, which usually results in an unfavorable outcome. A tax attorney handles audits regularly. Nothing about an audit intimidates a tax resolution attorney.
You might think that bringing in a tax attorney that deals with audit representation will annoy the agent or make him or her think you’re guilty – it will do quite the opposite, actually. Your IRS agent will generally prefer to deal with an attorney because they will prepare the requested information in a way that’s easy for the agent to read.
If for some reason you are unhappy with the results of the audit, you can always appeal. For this reason, the IRS may be willing to make a deal. This is another reason that an experienced tax attorney is a must-have during an audit.
The IRS’ lawyers are ready to negotiate and will often settle cases before going to court.
Yes, you can. When it comes to tax audits, the IRS wins 80% of the time when you are not represented by a qualified practitioner. Taxpayers are deemed guilty till proven innocent, which means the IRS can start an audit by disallowing every deduction you made on a return until each one is proven to be legitimate. If a taxing authority has decided to audit you, it’s important that you don’t let yourself be pushed around by the IRS.
However, having representation for audits vastly improves your chances for successful tax resolution.
Audits can be resolved swiftly. The best way to end an audit with a great outcome is to end it at the first meeting.
Whenever our firm represents clients in IRS audits, we actually perform a trial audit in our office before we ever meet with the IRS. This allows us to know which areas need more documentation or answers. When we meet with the IRS (without our client), we can quickly answer the auditor’s questions, provide documents and get to the bottom line. We always meet the IRS at their office or at ours, but NEVER at the client’s.
And if you receive an IRS audit letter in the mail asking you to come in or to call for an appointment – keep in mind YOU DO NOT HAVE TO SPEAK WITH AN IRS AUDITOR.
Just because your audit already happened, that doesn’t mean we can’t help. We often help taxpayers request audit reconsideration. An audit reconsideration request can be made anytime after an examination assessment has been made on your account and the tax remains unpaid.
You may request audit reconsideration if you:
If you disagree with the results of your audit, it’s not too late to contact us.
