The “auditing” experience

[GARY]

I got audited one time about 30 years ago when I was still doing my own taxes. It went well and I passed with no issues. About a month later I got a letter from the IRS saying that since I didn’t show up for the audit (?!) they were starting the collection process, basically disallowing all my write offs and deductions plus penalties. I spent three days trying to get someone on the phone to no avail - when I did get a human on the line they were no help and twice they hung up on me in mid sentence. Then one day my boss called me in to tell me home office got a notice to start garnishing my wages. I hired a local tax attorney who got it cleared up but it was expensive and a real mess. I didn’t get back the garnished paychecks either- it was counted as a tax credit for the next year.

Getting ready for things like this with the newly hired 87K auditors. I suspect they will use social media to determine who to pick (who hunts, fishes, votes for less government intervention ..

[Hogmauler]

It is what it is. Can’t live in fear. It’s angering to see this country in the mess it’s in.

[dfkoon]

Getting ready for things like this with the newly hired 87K auditors. I suspect they will use social media to determine who to pick (who hunts, fishes, votes for less government intervention ..

My concern exactly. IF I got audited, I don't think I would be worried. But it would take my time, my accountant (which I'm sure I'd pay for), and a whole lot of hassle.

[Hogmauler]

We e used the same Cpa for 28 years. So I figure that’s the best we can do. File our taxes and pay what we owe.

[Texastaxi]

We've been audited once. Nothing came of it.

One of my best friends started a business, a few years back, and was handling his own taxes. The company made millions, overnight. My friend had no business doing his own taxes, wrote off 100% of a bunch of equipment instead of depreciating it. He got audited.

When you hear stories of the IRS seizing assets ... well, it happened to him. They took cars, watches, properties and God knows what else. He was also making $50,000 a MONTH payments to them. He and his auditor spent a lot of time together and in the end, the auditor commended him for being so cooperative.

He ended up owing them a few million dollars. The real pisser ... after paying them for YEARS, and them seizing a LOT of his stuff for auctions, his auditor nor anyone he can get on the phone can tell him what his balance owed is.

[Hogmauler]

We've been audited once. Nothing came of it.

One of my best friends started a business, a few years back, and was handling his own taxes. The company made millions, overnight. My friend had no business doing his own taxes, wrote off 100% of a bunch of equipment instead of depreciating it. He got audited.

When you hear stories of the IRS seizing assets ... well, it happened to him. They took cars, watches, properties and God knows what else. He was also making $50,000 a MONTH payments to them. He and his auditor spent a lot of time together and in the end, the auditor commended him for being so cooperative.

He ended up owing them a few million dollars. The real pisser ... after paying them for YEARS, and them seizing a LOT of his stuff for auctions, his auditor nor anyone he can get on the phone can tell him what his balance owed is.

That’s insane! So you keep paying!

[Graysonhogs]

Makes a person feel helpless against the big government agencies

More than "feel", more like "are"

[powderburner]

the only fear a person has of the government is the IRS. They are the middle class controlling arm of the government. In a digital world they have the power to shut anyone down with in 30days. They freeze you accounts and you can not pay anything.

They have more power over citizens than anyone else.

In confusion there is profit and control

[Tony Pic]

I have always hired/paid a CPA to do my taxes for the simple fact that tax laws change so often and I had complicated income. I did not want to miss out on anything I was due or miss taking advantage of legally.
But a pro(CPA) would have my back/explain how my taxes were done in case they broke out the microscope.
Yes,The IRS is incredibly powerful and not one of them is an elected individual.

[Buckshot4900]

With them hiring that many scumbags I’ll start stashing more cash. That way I can survive the battle.


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[Huntingfool]

if you get audited I totally suggest bringing in a CPA - they will meet with the auditor for you to see what is up

There is usually a reason they want to audit you - some are random but most come because the computer kicks out an unlikely scenario on your return. Write offs that do no match up with your income, donation write offs that do not match up with your income, etc.

Unless you totally committed fraud on your return it is not a big deal in most cases - again use a CPA if you are nervous about it