If you are afraid of the name of IRS, you are not alone in the country. The organization is known to be quite stern about its procedure. With so many taxpayers in the country, IRS manages to pick the ones who have intentionally or unintentionally made some kind of mistakes in the tax statements. As tax is all about the development of the country and its people, it is taken seriously, and the matters are handled sternly by IRS.
Why does audit happen?
This makes people go numb the moment they hear about an audit. An audit simply means that the IRS is going to check all the details of your individual or couple or companies financial details to clarify the discrepancy. The discrepancies in the filed tax is verified by the organization to decide what should be done. If there is nothing wrong, IRS would never take any step against the tax payer. It is better to try to be honest and clear when you file your taxes to avoid an audit. This page will give you a sneak peek into the world of tax audit.
It is better to stay alert
No matter how minor the mistake is, IRS is going to pick it out. There is actually no logic in trying to hide something from the department as they will ultimately dig things out. Even the simplest tax sheet with an honest taxpayer can have some mistakes. Your document requires multiple checking before submission for the mistake to catch your eyes. Take your time to file the taxes and take more time to check for discrepancies. A minor mistake might be treated with just submission of relevant documents and rest of tax owed. But a significant mistake found during audit can bring a hefty penalty on your way.
