Your Guide to IRS Audits

For business owners, audits can seem scary and complicated. That’s why we’ve prepared this easy guide to help you navigate through this intimidating subject.

What is an IRS audit:

An audit occurs when the IRS believes that there may be an error on your tax returns. The process involves a review of your organization’s financial information in which it is up to you or a tax attorney to prove your returns were accurate.

How to prepare for an audit:

When it comes to navigating an IRS audit, the most important thing to remember is to be organized. Make sure you have all of your financial records in order before the audit begins and keep a record of all conversations with the auditor. Work with a tax attorney to review both your finances as well as the IRS claims for any possible mistakes.

How to avoid an audit:

Make sure to always pay your taxes on time and keep accurate reports of your income and deductions. Keeping receipts for your business expenses can help prove that your reported income is accurate. If you're ever uncertain about how to report something, it's always better to ask the IRS for guidance than to guess.

Learn more about how Brand’s can help you manage taxes for your business.

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