Tax audits occur for a variety of reasons. One of the biggest schedules to get audited is the schedule C, the self-employed schedule, because you have the flexibility there to take a large amount of write-offs, so when people abuse that privilege of the write-offs generally either New York State or the IRS wants to see why this particular write-off, why this deduction was so high especially in relation to your industry, your profession, your income.”
“That’s the number one reason people get audited. Usually it’s a correspondence audit by mail. They don’t necessarily want to meet you in person, but they want you to send in support for certain income or expenses. We’re of course very experienced with that and happy to help out with that. We definitely know how to respond to the IRS and/or New York State to give you the best chance of either not get assessed any additional penalties at all or at least lowering that assessment.