white International Society for Individual Liberty > 9 Ways To Avoid A Tax Audit
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Towards Liberty
A COMMENTARY ON CURRENT EVENTS
– by Jarret Wollstein –
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9 Ways To Avoid A Tax Audit

– 03-23-06 –

#1. Report all taxable income. The IRS has many sources of information – from your employer, bank, car dealerships, voting records, credit agencies, etc., etc. Blatantly understating your income is one of the surest ways to get audited.

#2. Don't make mistakes on your return. Math errors, missing information and missing ID numbers and signatures are a no no.

#3. Don't file early or late. Instead file when most people do, between March 15th and April 15th. It helps to get lost in the crowd.

#4. Document any unusually large deductions. Attach a Form 8275 explaining the reason for them.

#5. Hire a reputable pro you trust. If your tax situation is at all complicated, hire a professional to make sure you don't make mistakes on your return.

#6. Maintain a low-profile. Bragging about your wealth or flaunting your possessions is a good way to attract IRS attention. Rather than buying an expensive new car from a dealership, for instance, instead buy one a few years old from a private party. It is much more private and low-key.

#7. Make sure your return is neat and presentable. A messy return can also attract IRS attention.

#8. Keep good records and all receipts. They will be your best protection if you are audited.

#9. Be pleasant, professional and polite to the IRS personnel and auditors.


To view back issues of Jarret Wollstein's Towards Liberty, Click here.




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