ACCOUNTING REPRESENTATION NEW BUSINESS PAYROLL TAXES QUICKBOOKS BUSINESS

Services -- representation

We are licensed by the Federal Government to represent taxpayers before the Internal Revenue Service. We have represented clients through examinations, collections, and appeals for over 30 years.

Audits:

Returns are audited for many reasons. The first, and most common reason, is that you were randomly selected. The second reason is your DIF Score. Your return will be evaluated based on your "DIF" score, a set of IRS formulas known as the "Discriminate Function System." About three-quarters of all returns audited are selected by the DIF computer, which compares deductions, credits, and exemptions with the norms for taxpayers in each income bracket.

While these formulas are kept very secret by the IRS, you can count on having a higher audit probability if you fall into certain categories or report certain things on your tax return.

What should you do if you receive an
audit notice?

An IRS examination is not something you should handle yourself. You should hire a tax professional to represent you. If you were in a legal battle, you probably would not represent yourself. The same is true with IRS matters.

If we represented you, we would handle the matters with the IRS, and you would not be present. We do this for several reasons. The main reason is that we are professionals and are very comfortable with the IRS, and audits in general. In our experience, most taxpayers that are audited are frightened of the IRS, and may say or do something that they shouldn’t.