Tax preparation can be a confusing process each year, but what is even more confusing and often frightening is when you are notified of an IRS audit. During an audit, the IRS agents are generally focused only on one thing and that is finding fault in your reporting that leads to you owing more money than you previously paid. 

With our vast experience handling tax audit and other tax related issues, we understand the regulations and how to best defend against them. Each situation is different but a proper defense can help ease the situation and lead to a more favorable outcome. The core of a strong defense is paperwork that proves that you reported your income correctly. It is very important to save your tax related documents for several years in order to make it easier in case of audits.

Generally the rule of thumb for the length of time that the IRS can audit your taxes is three years. Therefore, you should be sure to retain your income, expenses, and tax return documents for the past three years. However, depending on the situation and what they have found, that audit period of time can expand to the past six years. This can cause many businesses and individuals to struggle to have to find the information that they need to defend their case and tax returns. We can help you to gather the information and prioritize what information needs to be retained or obtained to defend your case in the audit.

If you have been contacted by the IRS and told that you are being audited, contact the tax attorneys at Foley, Shannon, Powers and Rusch today. We will start today with helping you build your defense as well as explain the tax audit process and what the next steps are.