Ways to reduce the chances of IRS audits
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Answer all tax questions on the tax return even if a
question does not apply to the tax filer
Don't leave a tax question on tax returns blank because the
IRS will be forced to fill out the answer them for
you. Often the IRS' answers will not be favorable.
Attach explanations or documentation of unusual tax
deductions on the tax return
Although attaching an explanation to a tax return may cause
the IRS to have to read the tax return more closely,
if a tax return has questionable items it is better to
attach an explanation. However, do not attach explanations that
the tax payer himself or herself questions. Attach an
explanation to a tax return for an expense thaht the
tax payer is sure of the tax deduction that may be a
little unusual.
For example, a casualty or theft loss should be supported
with insurance and/or police claims or reports. This can lower
the IRS audit risk, because after the IRS computer flags any
particular tax return as having a higher IRS audit
potential, an IRS employee will review the tax return. If
supporting tax documentation is attached to the tax return to
explain the tax deduction theIRS audit risk is
significantly reduced.
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