Compliance Audits

[TAXBILLY]

They're coming ...

http://www.irs.gov/newsroom/article/0,,id=171023,00.html

taxbilly

[diligentbiz]

They're coming ...

http://www.irs.gov/newsroom/article/0,,id=171023,00.html

taxbilly

Here's another I found for US. http://www.irs.gov/pub/irs-drop/n-07-54.pdf

"Small Bus. and Work Opportunity Act" ???

[TAXBILLY]

I had a compliance audit in 1990 and it was no fun for me, my client or the auditor but it ended up as a no change situation.

taxbilly

[JohnH]

I had one for the 2001 year back in 2003 - at that time they had streamlined the process a little and they called them something else, but the auditor told me at the time it was "TCMP Light". The wife had a schedule C, but other than that it was a fairly basic return (one W-2 for husband, mortgage interest, property taxes, contributions, etc). The auditor did look at such things as birth certificates, bank statements, 1098, 1099, etc. It all worked out, including the mileage claimed for charitable travel (clients are very active church members).

I had the wife go along to the audit. I explained that of all my clients they would have been among the top 10 I'd have hoped would be audited - she didn't seem to appreciate my humor in that regard . We spent more time getting ready for it than the actual time spent in the audit. All things considered, it was less difficult than many I've heard about, but as I said it was a fairly easy case. I just took everything I thought we would need and only handed things over as they were asked for, one item at a time. I also waited for the auditor to hand each item back before I produced anything else. Pretty routine stuff for the most part. I think the client left the audit with a new appreciation for the job the IRS does, and for what accountants do for their clients as well.