How to Prepare for an IRS Audit
Depending on the type of IRS audit you are
going to go through, there are different ways of how to prepare
for an IRS audit. We have already discussed how to respond to
the letter audit (or correspondence audit) in a previous
section. Below is how to prepare for an IRS audit if you are
selected for an office audit.
How to Prepare for an IRS Audit?
How to prepare for an IRS audit depends on
what type of IRS audit you are selected for.
When you have received a
letter from the IRS stating that you have been
selected for an IRS office audit, you need to
prepare immediately. The letter from the IRS
usually fails to what you would need to bring
to you IRS audit, so you should start with
gathering all of the records that you have that
are relevant to what the IRS has requested.
The IRS is usually not very specific about
what records the tax payers should bring to the IRS audit.
Items that the IRS might request includes bank records and
How Much Records Will the IRS Want to
Many taxpayers are worried that they do not
have in of records to show the IRS. It is rare that an
individual taxpayer would have kept all the records that he or
she used to prepare his other tax return last year or the year
before. The IRS, generally, will not ask a taxpayer to bring
all books and all documents used in preparing and tax return.
Documents that the IRS usually request are usually ones that
you can obtain from a third party easily.
Can I Hire a Representation for My IRS
There are many taxpayers that do not want to
face an IRS auditor themselves. In this case, it is within the
taxpayer's rights to hire a representative to attend the IRS
audit meeting in place of the taxpayer. Usually, the taxpayer
will hire an attorney, a CPA, an enrolled agent, or the tax
preparer who prepared the tax return in question. Most tax
preparers offer audit services where they will go to your IRS
audit meetings for you.