Accounting, Tax Returns & Tax Resolution (828) 256-8059
Accounting, Tax Returns & Tax Resolution (828) 256-8059
Audit Assist Coverage is an extra layer of protection for our clients. Replacing the possibility of unexpected accounting fees throughout the year with a one-time low fee. Audit Assist Coverage (AAC) provides assistance with notices and audits related to your tax return for 48 months from date of filing!
Identity Theft for The Purpose of Tax Fraud
Occurs when an individual uses another person’s name and Taxpayer Identification Number (TIN), generally a SSN, to file a fraudulent tax return to obtain a tax refund. Unscrupulous individuals are stealing identities at an alarming rate for this purpose. The IRS lists identity theft as one of the top “Dirty Dozen” tax scams. Treasury Inspector General Tax Administration cited Identity Theft and Impersonation Fraud as # 2 on the list of the “most serious management and performance challenges confronting the
Internal Revenue Service.”
If you become one of the millions of taxpayers whose identity theft is used for the purpose of tax fraud, Audit Assist Coverage assists you, the taxpayer, with completing the required paperwork to file the tax return. If necessary, we will help obtain an IRS Identity Protection Personal Identification Number.
Inquiry or Notice letters from IRS and State
If the IRS or State does want to initiate a correspondence with you, it will generally do so the old-fashioned way by sending you a letter in the mail.
The IRS & State send millions of notices and letters for numerous reasons. If you receive a notice, you most likely will be required to provide additional information and/or forms in order to receive tax credits or deductions.
A letter from the IRS or State taxing authority can result in confusion and stress. With Audit Assist Coverage, we will help you to better understand why you are receiving the notice and provide assistance with your response and prepare the requested tax forms. We will also review the criteria for receiving any tax credit that is in question. We are your advocate. Working with you and the taxing authority to ensure that you receive qualified deductions and tax credits. The goal is case resolution. Allowing you to move forward with your life.
Scammers create fake versions of tax letters and notices—it is always best to have your tax professional review notices before responding!
Audit
You may ask “why would I ever be audited?” There may be information on your return that results in an audit, but there are also other reasons not within your control.
There are random selection of tax returns and computer screening, and sometimes returns are selected based solely on a statistical formula. Taxing authorities compare your tax return against “norms” for similar returns. The IRS develops these “norms” from audits of random sample of returns. Your return may be selected for audit because your return involves issues or transactions with other taxpayers, such as business partners or investors, whose returns were selected for audit.
Should your account be selected for audit, you will be notified by mail. An audit can be managed either by mail or through an in-person interview to review your records. If the audit is conducted by mail, additional information about certain items shown on the tax return such as income, expenses, and itemized deductions will be requested and must be submitted.
Having an experienced tax professional working with you and the taxing authority can reduce stress and allow the focus to be on the most possible desirable outcome. The tax preparation fee does not include assistance with an audit, and with AAC it is reassuring to know you will not have additional accounting fees.
In the event of an audit, Audit Assist Coverage provides interpretation of notices received, reviews items in question, and offers guidance on what information and records you will need to provide.
Upon conclusion of audit, the ideal outcome is all reviewed items have been substantiated and results in no change on the return. However; there is the possibility of proposed changes by the agent/auditor, and you agree to the changes. We will review with you the reasons for the changes and make recommendations for future returns.
If you owe money, there are payment options available. We will seek an installment payment plan on your behalf.
If you do not agree to the changes, we will provide you with an Engagement Letter stating the scope of future service and the appropriate fee that will be charged by our firm. Further mediation and appeals are not covered by Audit Assist Coverage.
Tax Debt
Due to unforeseeable circumstances, a taxpayer may have a tax liability that cannot be paid at time of filing.
If you find yourself in this situation, Audit Assist Coverage includes the preparation of forms required to establish an installment payment plan. These forms will be e-filed with your tax return, avoiding the stress of collection tax notices in the new year.
Please note, that Audit Assist Coverage is offered only on the tax returns we prepared and the fee is not included in the tax preparation fee, but is an option. AAC will provide audit assistance, as explained on both your federal tax return and state tax return.