IRS business audits can be time consuming, intrusive and can draw focus from the productive activities of a business. The audit typically begins with an Information Document Request (IDR) that requires business owners and managers to produce tax returns for a number of years, bank statements, deposit slips, cancelled checks, invoices, mileage logs, business records, financial statements, banking information, etc. Next, IRS Revenue Agents might spend days questioning the company's Chief Financial Officer and other key personnel about the documents produced and operating procedures in the business.
The nature of the audit process heavily favors the IRS. Revenue Agents are typically highly trained and highly skilled in conducting audits. They are supported by an army of tax attorneys and CPAs. For business owners and managers, an audit is typically a once or twice in a lifetime experience.
Handled poorly, audits can result in additional taxes, interest and penalties; independent contractors being reclassified as employees (typically resulting in significant taxes, penalties and interest) or in rare cases criminal investigation and prosecution.
Handled well, the intrusion into your business can be limited and any additional liability can be avoided or minimize.
Tax Attorney Lawrence Brown has deep experience representing businesses at IRS Audits. Lawrence Brown is a former Trial Attorney with the Department of Justice Tax Division. His private practice focuses on representing businesses in complex IRS audits.
To address any matters related to an IRS audit with a highly qualified tax lawyer, contact Brown, PC at 888-870-0025 or e-mail the law firm through this Web site for legal counsel regarding any and all matters relating to IRS audits. Our main offices are located in the Dallas-Fort Worth, Texas metroplex and we represent clients throughout the United States and the world.
