IRS audit
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Ways to reduce the chances of IRS audits (continues...)

Answer all tax questions on the tax return even if a question does not apply to the tax filer

Don't leave a tax question on tax returns blank because the IRS will be forced to fill out the answer them for you. Often the IRS' answers will not be favorable.

Attach explanations or documentation of unusual tax deductions on the tax return

Although attaching an explanation to a tax return may cause the IRS to have to read the tax return more closely, if a tax return has questionable items it is better to attach an explanation. However, do not attach explanations that the tax payer himself or herself questions. Attach an explanation to a tax return for an expense thaht the tax payer is sure of the tax deduction that may be a little unusual.

For example, a casualty or theft loss should be supported with insurance and/or police claims or reports. This can lower the IRS audit risk, because after the IRS computer flags any particular tax return as having a higher IRS audit potential, an IRS employee will review the tax return. If supporting tax documentation is attached to the tax return to explain the tax deduction theIRS audit risk is significantly reduced.

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