How can taxpayers protest against an IRS audit?

Prepare for the Tax Knowledge Assessment. Utilize flashcards and multiple-choice questions; detailed hints and explanations accompany each question. Excel on your exam!

Providing documentation and specific evidence to counter IRS claims is the most effective way for taxpayers to protest against an IRS audit. When a taxpayer receives an audit notice, it indicates that the IRS has questions or concerns about certain items on their tax return. By gathering and presenting thorough documentation, such as receipts, bank statements, and other relevant records, taxpayers can substantiate their claims and clarify any misunderstandings. This proactive approach not only assists in rectifying the situation but also demonstrates the taxpayer's willingness to cooperate and resolve any discrepancies.

Ignoring the audit letter does not address the IRS's claims and can lead to worse consequences, including penalties or default assessments. Requesting an extension to file a subsequent tax return does not directly impact the audit process or help in addressing the current issues raised by the IRS. Lastly, accepting all IRS claims without dispute forfeits the taxpayer's right to challenge inaccurate or unsubstantiated claims, which could potentially result in an unjust outcome. Therefore, engaging with the audit process through providing evidence is the most appropriate and effective method to protest.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy