Receiving a notice from the IRS can be an alarming experience, often leading to stress and worry about what comes next. The text below offers guidance on navigating an IRS audit with the support of a professional CPA firm.
Overview
This is one of the most dreaded situations… you open your mailbox, pull out the envelope that bears the IRS name and return address, and you break into a cold sweat. What is inside? Do you really want to open it? Your heart is racing, and you start mentally painting the gloomy scenarios. Does it sound familiar? Has it happened to you, your relatives, friends, or coworkers?
If you are reading these lines now, you have already made the right move – found Davidov & Associates CPA, a leading Alexandria VA CPA firm that specializes in defending clients in IRS audits and other proceedings.
What To Do If Selected for an Audit
Never Handle an Audit Alone
First and foremost, never attempt to handle an audit on your own. In our experience, this lessens your chances for a successful outcome. Always hire a professional to handle it for you from start to finish.
Assess and Prepare Your Records
Second, find the records for the year being audited, and assess whether these records are adequate. Often, our clients report that while they initially thought they had all records supporting deductions taken on the return, they have misplaced or lost the records during the move or in an act of God. Or, they have misjudged the adequacy of their records and never bothered to check on them. In any case, we have ways to either recreate the records, order duplicates, or use alternative records to submit to the IRS.
Be Transparent with Your CPA
Third, be very transparent with your CPA. If you believe you may have exaggerated a deduction, or made it up where there was none, you have to let us know that you need to speak to the tax attorney. We will then bring our partner tax attorney to the meeting, and this way you can have an attorney-client privilege to discuss very sensitive matters.
Avoid Direct Communication with the IRS
Another important recommendation is to never speak to an IRS agent directly, even when it may seem like an innocuous act. Always go through your CPA as an intermediary. This way, you will be protected against inadvertent admissions that may backfire and be used against you.
Contact Us
The bottom line is – if you are audited, contact us at once. Do not delay, as this will not help. We know how to handle the audit and can put our real-life experience to work for you.