IRS Audit Representation
I've never known the IRS to send a thank you letter or a birthday card. Typically, when mail arrives from the Feds it tends to make the reciepient nervous. Quite often the letter sits unopened for a few days or even weeks. There is a legislated time element to correspondence, don't wait, open it right away and contact your tax professional - not the IRS.
What you say can and will be used against you.
Taxpayers have a tendency to think "explaining" will solve the problem. It will not. There is a process, you are in it, and the process will be followed whether you agree with the issue or not. The issue may appear to be simple, and it may well be - just don't assume that it is. Audits can and do evolve into more than one tax year, sometimes with additional issues (often unknowingly volunteered by the taxpayer) even though the initial letter may indicate otherwise.
The IRS leaves no stone unturned in its mission to determine the accuracy of your tax return. If you don't comply with the with the letter the IRS can and will recalculate your tax for the year in question and follow it up with a notice of deficiency, and a balance due. You have two choices, pay the bill or contest it. Paying is easy, contesting the deficiency is not as simple as a phone call.
It's not discussed socially but many taxpayers decide to try and handle a tax audit themselves, and discover they may have been "penny wise," avoiding a representative's fee, but "pound foolish," because they received a substantial bill for a significant tax deficiency.
Revenue agents are trained to extract more information from you than you have a legal obligation to provide. They know you are emotionally involved in a process you don't fully understand and simply want to go away. As a result, taxpayers place themselves at a disadvantage without adequate representation that is not emotionally involved in the audit.
Our clients do not speak with the IRS. We handle it all for you so that you need not take time off from your business or job to handle the bureaucracy, paperwork, or meetings. No lost wages or business. You simply forward notification of an audit to us and we handle it start to finish.