What are the types of IRS audits?
There are a few types of IRS audits. Most of
the IRS audits are not as bad as people make them out to be.
The three types of IRS audits are: correspondence audit, office
audit and field audit.
IRS Audit Type 1: Correspondence
Once a tax return is selected for an IRS
audit, the taxpayer is notified. If the issue involved is
minor, the matter often can be resolved by a correspondence
audit. In a correspondence audit, the IRS sends a letter to the
taxpayer asking for verifications of certain items on the tax
return. You never have to meet with the IRS in a correspondence
IRS Audit Type 2: office IRS audit
The second best type of IRS audit to have is
the office audit. An office audit usually is restricted in
scope and is conducted in an IRS facility. A taxpayer
being audited will walk into an IRS office where the audit
takes place with documents needed.
The IRS audit agent look through the
documents and calculate the taxes owed then the audit is over.
Not every office audit results in more taxes to the IRS. Some
results of the office audit are no change or tax refunds to the
IRS Audit Type 3: Field IRS Audit
The third type of IRS audit is field audit.
Field IRS audit involves an examination of many items reported
on the tax return. Field IRS audits are conducted on the
premises of the taxpayer or his or her representative.