The IRS Examination Process: What You Need to Know

🔎The IRS examination process is commonly referred to as an audit and involves a review of a taxpayer's return.

📝There are three types of IRS examinations: correspondence audits, office audits, and field examinations.

📂Returns may be selected for examination based on factors such as potential tax avoidance transactions, computer scoring, information matching, and related examinations.

🔔Taxpayers have certain rights during the examination process, including the right to professional treatment, privacy, representation, and appeal.

⚖️Taxpayers have the obligation to provide requested information and documents to the IRS during an examination.

What is the purpose of an IRS examination?

—The purpose of an IRS examination, or audit, is to review a taxpayer's return and ensure compliance with tax laws and regulations.

What are the different types of IRS examinations?

—The three types of IRS examinations are correspondence audits (conducted by mail), office audits (conducted at an IRS field office), and field examinations (conducted at the taxpayer's home or place of business).

How are returns selected for examination?

—Returns may be selected for examination based on factors such as potential tax avoidance transactions, computer scoring, information matching, and related examinations.

What are a taxpayer's rights during an IRS examination?

—Taxpayers have the right to professional treatment, privacy, representation, and appeal during an IRS examination.

What are a taxpayer's obligations during an IRS examination?

—Taxpayers have the obligation to provide requested information and documents to the IRS during an examination.

00:00This video provides an overview of the IRS examination process, also known as an audit.

05:05There are three types of IRS examinations: correspondence audits, office audits, and field examinations.

10:58Returns may be selected for examination based on factors such as potential tax avoidance transactions, computer scoring, and information matching.

15:53Taxpayers have certain rights during the examination process, including the right to professional treatment, privacy, representation, and appeal.

18:23Taxpayers have the obligation to provide requested information and documents to the IRS during an examination.