They say they will issue and examination report that will show "additional tax due". I don't have a lot of receipts with me so I will probably end up paying anyway. I already re-scheduled and the lady I spoke with seemed very irritated.
I will try to call again tomorrow to reschedule, but if she has no more openings that comply with my work schedule I won't be able to go. Has anyone had any experiences with this? Serious answers only please. Thanks.
2007-03-25 11:38:20 · 4 answers · asked by Qrious 2 in Business & Finance ➔ Taxes ➔ United States
When you're audited, you're required to prove that the deductions shown on your tax return are valid. Since you are not going to the appointment, you cannot prove that they are valid. The IRS will disallow your deductions on the basis that you did not prove that you were entitled to them.
The disallowance of expenses causes net income to increase. This is what causes the additional tax due. You will probably also be charged a 20% negligence penalty since you didn't provide any records.
If you agree with the changes on the report, sign it and mail it back in. If you don't agree, you will have a set time to respond, usually 30 days, so call within that time frame and schedule another appointment and DON'T MISS IT. At that point, you can provide all of your receipts and the examination report will be updated. If you still don't agree, you can request an appeal of the auditor's decision.
As a side note, if I was being audited by the IRS I would make every effort to go to the appointment regardless of my work schedule. Can't you take a day off, for goodness' sake?
2007-03-25 16:13:31 · answer #1 · answered by figment_usa 5 · 0⤊ 0⤋
If you just don't show up, they'll just assume that what they see is all that you have, and will just close out the audit and you won't be able to show any proof you have that you have additional deductions.
Since you've already rescheduled once, they probably think you're just trying to avoid meeting with them.
2007-03-25 18:44:00 · answer #2 · answered by Judy 7 · 2⤊ 0⤋
Fines! Go to a lawyer and get a good accountant.
2007-03-25 19:49:35 · answer #3 · answered by Anonymous · 0⤊ 0⤋
If you think the yahoo gods are nasty, wait until you piss off the IRS!
2007-03-25 18:42:58 · answer #4 · answered by Anonymous · 0⤊ 0⤋