What Is an IRS Audit?

An audit is a review of your financial information to confirm accuracy. Most are done by mail, but some require in-person meetings โ€” and they can get messy fast.

Top IRS Red Flags

  1. Unreported Income
    The IRS matches W-2s, 1099s, and other third-party forms. Donโ€™t leave anything out.
  2. Excessive Deductions
    Big deductions (especially for meals, travel, or a home office) that donโ€™t match your income can raise eyebrows.
  3. Business Losses Year After Year
    Legitimate losses are fine, but if you always show losses, the IRS might question whether itโ€™s really a business.
  4. Large Charitable Donations
    If your donations seem out of line with your income, expect questions.
  5. Claiming Dependents Without Documentation
    Always have supporting records โ€” birth certificates, school or medical documents.

Final Thoughts

Just because youโ€™re flagged doesnโ€™t mean youโ€™ve done anything wrong โ€” but you do need to be prepared.

Got a Notice from the IRS or Worried About an Audit?

We help individuals and small businesses respond to IRS letters, fix problems, and avoid audits in the future. Donโ€™t go it alone.

๐Ÿ“ž Schedule a confidential tax resolution review


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