IRS audit
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IRS matching program

IRS matching program is a computer program that the IRS developed. The IRS matching program is a process by which the IRS selects many tax returns to perform IRS audits.

Selecting tax returns via IRS matching program

Many tax returns are selected for audit through a matching program. The IRS reviews each tax return information it receives such as form w2, 1099, and 1098. The IRS then compares the tax return information on these tax returns to the tax return the tax payer have submitted, linking them via social security numbers. The IRS receives tax information from the following sources among many others:

  • employers, wages (Form w2)
  • gambling from casinos (Form w2G)
  • pensions and annuities (Form 1099-R)
  • over $600 from services (Form 1099-MISC)
  • banks interest (Form 1099-INT)
  • mutual funds from stockbrokers (Form 1099-DIV)
  • state unemployment (Form 1099-G)
  • state income tax refunds (Form 1099-G)
  • real estate agents (Form 1099-S)
  • corporations - dividends (Form 1099-DIV)
  • mortgage interest (Form 1098)
  • miscellaneous income (Form 1099-MISC)
  • business (schedule K-1)

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