by Roman Shteyn
Getting audited is every taxpayer’s nightmare, but rest assured: your chances of being singled out for an audit are slim.
According to the IRS, approximately 1% of the tens of millions of taxes filed each year get audited. However, if the IRS finds holes in your tax returns, the repercussions can be wide ranging and financially devastating.
While no one is immune from the magnifying glass, certain filers are more likely to attract the scrutiny from the IRS, including those making more than $1 million a year, self-employed individuals and those claiming certain tax deductions like the home office credit.
The best strategy for small business owners to avoid an audit is to have a dedicated business credit card that can provide detailed reports to track spending and expenses.
Here are additional strategies to avoid having your tax returns flagged for an audit:continue reading »