Nick Nemeth | Dallas IRS Tax Help | IRS Attorney
The IRS has dominated the headlines recently, as the story of improper scrutiny being given to conservative groups has emerged. But even before this issue came to light, much had been said about the increasing size of the IRS as well as their plans to target high-income individuals and business owners.
Many of the taxpayers we speak to on a regular basis are increasingly nervous. We get questions all the time relating to the IRS and their aggressive tactics. That is why today we are going to take some time to discuss the first steps you should take if you are targeted by the IRS for an audit or some form of dispute. Note that for specific advice pertaining to your specific situation, you should always speak to a professional.
1) Don’t freak out. Remain calm. Nobody likes receiving a letter from the IRS. And certainly nobody is happy to receive notification that they have been selected for an audit… or worse. But panicking simply makes the situation worse. Despite the threatening language and intimidating letterhead, you do have rights and plenty of opportunity to prove your case. So don’t panic!
2) Don’t expect the situation to resolve itself. Ignoring the correspondence is a big mistake. It is similar to an ostrich burying his head in the sand and thinking that he is invisible—it just doesn’t work. And it only makes the matter worse. Read the notice, take note of the actions required and the deadline, and make a plan of action. Addressing the issue promptly and directly is the best way to resolve a tax dispute quickly.
3) Track down and organize all relevant documentation. It is critical to get organized. Locate whatever paperwork and supporting documentation you have relating to the matter. Whether you…