If truth be said, there is just one way to avoid a tax audit. What is this? It is pretty simple; do your taxes absolutely right, and the IRS will probably not nail you down. Even if they do, there will be nothing to worry about. Take help from a reputed accountant Lake Nona, FL and they will do everything they can to save you from an audit.
So who gets selected for an audit and who gets IRS mercy? There is no proper selection procedure or any clear rules about this. Even the best accountants in the country do not have much idea. Of all the tax returns filed, the IRS selects 1% of them. Though people of all income brackets are audited, your chances increase if you are in the higher bracket range.
Audits may have a bad repo, but they are not that bad. The only thing is that you either have refund or you have to pay the IRS some more taxes. Should the auditor note an error, you have to fix it and resubmit your return.
Little as they may be, there are chances that anyone can get audited. Still, with some things in mind, you can reduce your chances even more.
This is an advice which every accountant Lake Nona, FL will give you. Honesty is a great policy, and the IRS are the last people in the world you should lie to. If you do so, and you get caught, you will have to bear a financial penalty. If the lie is serious, this turns into a criminal penalty.
Please note that withholding information intentionally is also considered a lie.
Use deductions carefully
Donating to charity does mean a deduction, but if you fear an audit, you will have to be careful about it. The IRS is really good with numbers and they are well aware of the average donations you can make within your income bracket. Exceed this, and you will be in trouble. Your risk of an audit is increased and you will then have to bear the consequences.
It is not just donations that can cause a problem. You will have to be careful with your other deductions as well. Ask your chosen accountant Lake Nona, FL for help, and they will make sure you are claiming deductions properly and doing so in appropriate amounts.
E-file your return
There are many benefits of e-fling your return: convenience, reduced errors, less time, quicker processing and do on. E-fling can also reduce your chances of an audit. When you e-file, you are not making any mathematical errors as long as you input all numbers right. This means the IRS has not much to hold an audit.
Even if you do make an error when e-filing and it gets picked up, it will automatically be corrected and you will not even come to know about it.
Keep our advice in mind, and you will probably not have to go through any audits.
If you need more information about our Lake Nona, FL accounting and tax services, please contact us at 407-344-1012. Freedomtax Accounting’s staff has been providing honest accounting services and tax services for 15 years. Our Orlando accounting and tax firm has its main offices in Kissimmee, FL. Our services are provided nationwide, but mainly in the Central Florida market to areas like Orlando, South Orlando, Kissimmee, St. Cloud, Poinciana, Clermont, Davenport, Hunters Creek, Lake Nona, Celebration, Winter Park, Windermere, Dr. Phillips, Maitland, Altamonte Springs, Winter Garden, Ocoee, Apopka, Belle Isle, Edgewood, and Oakland FL. Our tax accountants and IRS enrolled agents (irs ea) specialize in corporate accounting and bookkeeping, tax services, tax preparation, back taxes help, tax debt relief, tax resolution, tax planning, itin numbers, incorporations, and non profit 501c3 tax exempt.