IRS Tax Audit Representation

The IRS Audit

An IRS audit is an examination of a taxpayer‘s return, or transactions, to verify the correctness of the position taken on the tax return. During the course of the audit the IRS requires the taxpayer to provide the IRS examiner with documentation that supports the positions taken. Most IRS audits only cover a portion of the items listed on a tax return, but on occasion the IRS will audit all the items.

Teogatha Law offers IRS tax audit defense by representing clients during the IRS audit and shielding the taxpayer from the examiner. In most circumstances the IRS will have incomplete information upon commencing the audit and therefore the examiner will need to learn additional facts. A common tool that the examiner uses to determine additional facts is to issue an information document request. This request is not compulsory, but if a taxpayer fails to satisfactorily comply with the request the examining agent will often issue a summons, which is compulsory. In most situations, it is advisable to comply with the information document request to avoid a summons.

Responding to an IRS Examiner

Responding to an information document request provides the taxpayer with their most valuable opportunity to demonstrate to the examining agent that they are in compliance with the tax code and no adjustment is needed to their return. Deciding how to respond to questions and present documents is crucial in successfully defending against the IRS audit. Teogatha Law is experienced in responding to IRS document requests and our attorneys have successfully resolved many IRS audits.

If the Audit Result is Wrong

If the IRS agent and the taxpayer cannot agree on an outcome, the examiner will propose an adjustment and often penalties and interest. At this juncture the taxpayer has several options on how they would like to proceed. The taxpayer can (1) pay the amount requested, (2) pay the tax amount, but appeal the penalties and perhaps interest, (3) request a meeting with the examiner and his/her immediate supervisor to review the audit, (4) file a formal appeal (to do this the examiner must issue a 30 day letter).

Teogatha Law‘s professional representation during an audit provides the taxpayer with the assurances that minimal taxes will be paid. Furthermore, Teogatha Law will work with the taxpayer to decide if making a deposit with the IRS is advisable in order to stop the running of interest.