The IRS undoubtedly wields a great deal of power over taxpayers. Given the authority this agency has, you may believe that the IRS is always in the right during an audit.

However, as a taxpayer you have the right to prepare yourself for an audit and use every resource available to you. You can build a case and prepare for your meeting with the IRS well ahead of time by making good use of these important audit resources.

Well-Kept Records and Paperwork

The outcome of your audit can depend greatly on how organized you have kept the paperwork and records that pertain to your case. When you attend your audit, you will be expected to bring records and documents like:

• W-2s
• 1099s
• Receipts for business expenses
• Bank statements
• Dividend statements
• Appraisal records for other assets

It is essential that you compile this documentation in a logical and clear order so that you can easily defend yourself. You should also make copies of these records to have on hand just in case.

Understanding of Your Rights

Another important aspect of preparing for your audit calls for you to understand your rights as a taxpayer. You have numerous rights that the IRS cannot legally withdraw from you or fail to inform you of prior to your meeting with the auditor.

The IRS must send you written notification of your rights well before your scheduled audit. You can also find out more about your rights by researching online or at your local library.

Knowledge of Tax Codes

Before you go into an audit, you must know the tax codes as they pertain to your case. Walking into a meeting with an IRS auditor without this knowledge can put you at a disadvantage from the start.

You can look up tax codes online on the IRS website. You can also research current tax codes at your local IRS office or by speaking with a licensed tax professional.

Dedication and Focus

IRS audits can be anything but brief. They can take weeks, months, or sometimes even a year or longer to resolve.

How long your audit lasts can depend on how well you stay r focused and committed to your defense. As the process goes on, you may become discouraged and feel like giving up entirely. However, if you want an outcome that works out in your favor, you must dedicate the required time and focus, even if you feel like the process is slow and putting you at a disadvantage.

Professional Tax Help and Guidance

Ultimately, the greatest resource available to you would be hiring a tax professional to help you and guide you through your audit. Just as you would not go to court without legal representation, you likewise would fare well to avoid going into an IRS audit without a tax professional by your side.

Hiring a tax professional offers you several unique advantages that arguably may not be available to you during an audit otherwise. These benefits include:

• Better understanding of tax codes: Tax professionals are trained to keep updated on the latest tax codes and can immediately know which ones apply to your case
• Professional preparation of your case: Building a case to take before an IRS auditor or judge takes a great deal of time. When you want to focus on living your life instead of spending hours putting together your case, you can outsource this important task to your tax representative.
• Confident representation: Tax professionals are skilled at going before auditors and judges and will not back down to intimidation. Your representative will ensure that your rights are protected and that you are given the best outcome of the audit.

By partnering with a tax pro, you will ensure that your case is handled correctly and in a timely manner. You can go back to living your life without the stress and fear that comes with being audited.

Every taxpayer has the right to prepare for and fight an IRS audit. You can get ready for yours by using these resources to your advantage.