We have all heard of somebody who is being audited. That audit may be coming from a franchisor or from a government agency, such as the Internal Revenue Service. Regardless of who is mandating the audit, it can be a confusing and scary process for the individual being audited. Now you are the one receiving a notice that you are being audited and you have no idea where to begin. That’s ok! Mr. Steve Whyte of Whyte & Associates Inc. in Rancho Cucamonga, CA is here for you. Mr. Whyte offers a range of services which will benefit those being audited so that they have the assistance and representation necessary to make it through this often-burdensome process.
While Mr. Whyte is here for you if needed, obviously it would be best for you if a notice for tax audit is never sent your way. Here are some common ways to avoid such a situation.
When filing your taxes, check and then double check your math. Math is one of the very first things the IRS checks for and it’s reported that math errors are one of the top mistakes they report each year. Math is also something you have complete control over if you carefully review before sending your tax forms in. Those first two pages on your tax return are the most important and need to add up. One benefit of using professional tax software (or a tax professional) is that this math is done for you.
When it comes to taxes, it does not pay to be an outlier. The IRS is looking for any data patterns that deviate from the norm and will pounce if they can. Examples of an outlier may be declaring that you gave away more in charitable donations than you brought in as net income or that the size of your home office deviates from year to year. Before you make any claim that may seem outside of the norm, consider if it’s worth it. If it’s true and you can back it up with records, then report it. You may still be audited, but you’ll have proof that you are telling the truth.
Make sure you are entering correct SSNs for all parties you are filing taxes for including dependents. It’s very easy to transpose a number or recall one incorrectly, so make sure and double check before submitting.
These are just a few things you can do thar may help you avoid an audit. In addition, make sure you are being careful about any deductions or credits you are entering and, although this should go without saying, be honest about everything you enter. Even following these tips, you may still be audited. If you have received that dreaded notice and need to seek assistance and representation to ensure you make it through this process unscathed, please contact Mr. Steve Whyte of Whyte & Associates Inc. in Rancho Cucamonga, CA. To set up an appointment, please call (909) 575-0080.