17 Reasons the IRS Will Audit Your Tax Return » Mortgage Masters Group

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However, it does mean that something on your tax returns triggered their computer screening process. Because the screening involves comparing your tax return against the "norm", often a tax return that falls too far out of the spectrum will raise an alarm.. Another cause for an IRS Audit might be that you did business with someone that is currently undergoing an audit.

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How Often Does the IRS Audit Previous Tax Years?. The Internal Revenue Service overall audit rate is 1.03 percent for individuals, according to the agency’s stats for fiscal year 2012. That.

Five Reasons Self-Employed People Should File Back Tax Returns – Now Self-employed people and independent contractors have more complicated tax obligations than people who earn wages as employees. Self-employed people have to account for and report their own self-employment income on their tax returns.

Nevertheless, you may still be audited during your lifetime, either as part of a randomly selected group, or because you have certain red flags in your return. The IRS generally has up to three years after you file or the due date (whichever is later) to audit your return, but it can audit up to six years in some cases.

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So while the odds are in your favor that you will fall into the 99% of non-audited tax returns, there are some irs red flags that, IF YOU CAN AVOID, will help keep you from the audit pool group.

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Citigroup continued winding down.17 Reasons the IRS Will Audit Your Tax Return Mortgage Masters Group The IRS audited 0.5% of all tax returns filed in Fiscal year (fy) 2017 which amount to about 1.1 million audits. While receiving an IRS audit letter is enough to give you a lump in your throat, it’s not always a bad thing.

During a field audit, an IRS agent will come to your home or place of business and conduct a more in-depth investigation of your return. Field audits are typically necessary when a return raises.