IRS Tax Resolution Services
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    Audit Defense

    IRS Audit Letter – What It Means

    Professional Audit Defense & Representation

    An IRS audit letter means the IRS wants to review part of your tax return. Most audits are done by mail and focus on specific items. With proper representation, most audits result in minimal or no additional tax.

    AI Summary

    IRS Audit Defense is professional representation during an examination. A CPA handles all correspondence with the IRS auditor, prepares documentation, and defends the taxpayer's return positions to minimize additional tax assessed and protect against accuracy-related penalties.

    Types of IRS Audits

    We handle all examination types

    Correspondence
    Mail-based, specific items
    Office Audit
    IRS office, more detailed
    Field Audit
    Your location, comprehensive

    Real Results: Client Success Story

    IRS Proposed
    $156,000
    Final Result
    $8,200
    Savings
    $147,800
    95% Reduction

    "Restaurant owner received field audit notice. IRS proposed $156K in additional tax based on bank deposit analysis. We reconstructed income using POS records, demonstrated personal deposits weren't income, and reduced assessment to $8,200."

    *Illustrative scenario. Audit outcomes depend on documentation and specific circumstances.

    Common Audit Triggers

    High Deductions

    Deductions disproportionate to income

    Cash Business

    Industries with high cash transactions

    Home Office

    Home office deduction claims

    Rental Losses

    Large passive losses claimed

    EIC/Credits

    Earned Income Credit claims

    Info Mismatch

    1099/W-2 doesn't match return

    How to Respond to an IRS Audit Letter

    Read the Letter Carefully

    Identify which tax year is under review, which specific items the IRS is questioning, and the deadline for your response. Do not ignore it.

    Gather Supporting Documents

    Collect only the records that support the specific items questioned — receipts, bank statements, 1099s, contracts. Never send more than what's requested.

    Respond by the Deadline

    Missing the IRS deadline can result in automatic assessment of additional tax. Request an extension if you need more time — but always respond.

    Deadline is critical

    Our Audit Defense Process

    1

    Review Notice

    Analyze audit scope, years, and issues

    2

    Gather Documents

    Compile only what IRS legally requires

    3

    Represent You

    Handle all IRS meetings and communications

    4

    Negotiate/Appeal

    Contest findings through appeals if needed

    IRS Authority & References

    IRC § 7602
    Examination of Books and Records
    IRS authority to conduct examinations
    IRM 4.10
    Examination of Returns
    IRS audit procedures and guidelines
    Publication 1
    Your Rights as a Taxpayer
    Taxpayer Bill of Rights during examination
    Circular 230
    Practice Before the IRS
    Rules for CPAs and EAs representing taxpayers

    Related Resolution Services

    Received an Audit Notice?

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    Last updated: September 12, 2026