The Internal Revenue Service is the government agency responsible for gathering returns, analyzing them for accuracy, and collecting back taxes.
Every year, United States citizens are required by law to file federal and state tax returns.
The IRS reviews tax returns for inaccuracies. For example, it is common for a taxpayer to miscalculate the amount they owe or claim the wrong deductions. Sometimes, there are more significant discrepancies that might lead to an audit.
The IRS conducts tax audits every year to examine returns that have been flagged for potential problems. Think of an audit as a more in-depth inspection of your personal or professional bank accounts by the government.
The IRS utilizes different procedures for an audit, based on several factors. Regardless, it is especially important to have a well-versed representative to address the examination by the IRS or state taxing authority.
Dealing with the IRS by yourself is time consuming, stressful, and worrisome. The experienced audit defense team at Levy & Associates can alleviate some of that stress by working to ensure you receive the most favorable outcome based upon your unique circumstances.
The Internal Revenue Service (IRS) uses an audit to examine the financial records and your personal or business tax returns. Audits help determine whether your records are accurate. The IRS has a process for conducting an audit through a systematic review of past transactions. Therefore, the IRS may investigate your financial statements and accounting records during an audit.
It is not uncommon for some businesses (particularly larger earning companies) to have a routine audit once per year. On the other hand, it is unusual for personal tax returns to go through an audit. In fact, the IRS audits less than one percent of all returns each year, and the vast majority of audits are conducted via mail correspondence.
Everyone that files a tax return has the possibility of getting audited. Which is why you need to prepare and file an accurate tax return. In the unfortunate event of an audit, it is extremely important to retain a professional to represent you, or your business.
What Is Audit Defense?
Personal income filers and small business owners are responsible for filing their taxes every year. You not only need to file taxes, but you also need to do so correctly.
Consequently, the IRS sometimes targets small businesses more than personal income returns to make sure their accounting books are accurate. By a careful review of your records, an IRS agent can determine if your records are consistent with the tax return that was filed.
While a tax audit does not mean that you did anything wrong (it merely means the IRS needs more information to verify the accuracy of your return), it is still a stressful and hectic process.
The professionals that provide audit defense at Levy & Associates are well aware of the audit process and are perfectly positioned to create a plan and represent you or your company every step of the way.
A strong and knowledgeable professional that can represent you in an audit can eliminate a lot of time and effort you would otherwise need to dedicate to the IRS examination. Additionally, because some agents are known to be pushy, it also avoids the hassle and stress defending yourself on your own.
Since most taxpayers that represent themselves lack knowledge and experience dealing with the IRS, they are more likely to be taken advantage of, which makes hiring a professional all the more important.
Do I Need a Professional to Represent Me or My Company in An Audit?
While many different companies advertise some form of “audit defense,” the level of treatment varies. need to be careful with the service you select, because they are not all equal. Some will only do the basic lifting to protect you or your company. In contrast, the audit defense team at Levy & Associates will shoulder the full burden of your audit so you can get back to focusing on your business.
Prepaid Audit Defense vs. Audit Representation
Audit representation is a much more thorough type of service. Your Power of Attorney goes to bat for you during appointments, telephone conferences, and will advocate for your rights as a taxpayer.
Our tax professionals will tackle the bulk of the work of your audit, easing your burden and allowing you to focus on the day-to-day operations of your company or work.
Since audits are time-consuming and demanding, the best way to remedy a sticky situation with the federal government is to consult a tax professional. Instead of facing the situation alone or dealing with a faceless prepaid service, contact Levy & Associates as soon as possible.
Is Audit Defense Worth the Money?
Taxpayers and small business owners tend to panic whenever they hear the nasty five-letter word “audit.” However, there’s no need to panic, as audits are part of the normal tax process and do not always mean that you did anything wrong.
Most audits are conducted through mail correspondence and usually only require minor adjustments or clarifications. On the other hand, business audits are far more complicated, time-consuming, and stressful.
Possibly the biggest challenge with audits is that they consume a lot of your time. Even if it turns out you did not file incorrectly, you will spend more time with an auditor than you’d prefer. For example, you will receive notices, need to contact the IRS, gather records, meet for appointments, and deal with the aftermath of a decision.
Hiring the right audit defense can take a substantial amount of that workload off your plate so you can get back to running your business. The best aspect of retaining professional representation is that you’ll be working with a professional who is used to dealing with the IRS. The Levy staff is very well versed in the intricacies of representation throughout the IRS examine process. Tax professionals know how to create a personalized defense while dealing with the paperwork and collection of records. Furthermore, they’ll represent you at hearings and protect your rights as a tax payer.
You are far more likely to receive a favorable outcome from an audit with a professional advocating your position that also understands the process and your rights as a tax payer. Anyone that goes at it alone will spend far more time dealing with the IRS directly, especially if they lack experience with the government agency. Audits can take weeks, months, or even years, depending on the complexity of the issue.
While the chances of getting audited are slim, you should not play around with the outcome if you or your business is the unlucky recipient of an IRS or state audit. The decision of an audit could impact the future of your income or the business. It is not something worth risking, especially when you can hire a knowledgeable and experienced professional to represent them in the audit.
As a result, most small business owners are more than willing to hire a professional to represent them before the IRS or state taxing authority. Think of it as hiring a lawyer to represent you in a lawsuit that was brought against your business. It is simply better to defend yourself with an experienced team compared to going it alone.
At Levy & Associates, you’re a valued client—not a number. You can rest assured that we’ll put our extensive experience to work defending you throughout the audit process.
“Greg, Lance, Stephanie and team are some of the most amazing people I’ve had the pleasure of working with! They are on point when it comes to helping our crew out with our IRS tax issues! They saved our company and the owner so much money already! Thankful for Levy & Associates!!”– Erica Dell
“I had an IRS issue that no one was able to help me with. Someone recommended that I call The Levy Group so I did. They helped me with resolving a very difficult situation. I very thankful with what they were able to accomplish.”– David Carpenter
Contact Levy & Associates for the Best of the Best Tax Resolution Services in the Country
Levy & Associates is available 24/7. We’re happy to answer any questions you have about the tax resolution process and address any concerns about your specific situation.
There’s never a good time to have a tax problem, and the time-consuming process will take away from your business or family if you try to face this alone. Let us handle and coordinate communication, so you can return to your daily life.