Is There Any Way to Avoid Getting Audited on My Taxes?

0
Posted

Is There Any Way to Avoid Getting Audited on My Taxes?

0

Under the current Internal Revenue Service (IRS) system, few taxpayers are completely safe from being audited, but over 99% manage to fly under the IRS radar every year. Of the very small percentage who do end up getting audited, most are engaged in high-risk or high-income occupations or are self-employed with significant business deductions listed on their returns. Others are either randomly selected for quality control purposes or because they entered information which raised flags according to a secret IRS formula. Your chances of getting audited as an average citizen paying an average amount of federal taxes are still pretty minimal, at least in theory. One thing you can do to avoid getting audited is avoid cash-intensive occupations, such as auto repair, waiting tables, gaming, professional entertaining and anything in the hospitality trades. Taxpayers who receive significant amounts of cash tips or gratuities are obligated to report this income to the IRS, but in reality many pe

Related Questions