Levins Tax Law
Schedule your initial consultation:
866-485-7019

Tax situations that could lead to tax audits

Like people across the country, the last thing most Massachusetts residents want to do is end up on the radar of the IRS. Of course, the agency does not necessarily have to have a reason to begin an audit, but taxpayers certainly do not want to give it one. Unfortunately, some situations could lead to tax audits if filers are not careful.

For instance, self-employed Massachusetts residents need to make sure they report all of their income and carefully choose the deductions they take. Only those deductions that represent something essential to working should be taken. In addition, make sure that any source of income claimed as self-employment is motivated by making a profit and not a hobby that occasionally generates some income.

Many people give a portion of their hard-earned money to charity. However, if the IRS believes a person gives too much, it may trigger an audit. Individuals do not need to put a limit on how much they give, but they may need to put a limit on how much of their giving they claim on their taxes. If an individual is not sure how much a property donation is worth, there are guides to reference.

Everyone makes mistakes, but the errors some taxpayers make could trigger tax audits. Many audits happen by mail these days, so it would be a good idea to carefully review any correspondence from the agency. Anyone facing an audit would probably benefit from consulting with a tax attorney in order to help ensure that he or she does not end up paying more in taxes, penalties or interest than absolutely necessary.

No Comments

Leave a comment
Comment Information
Email Us For a Response

Resolve Your Tax Problems

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Framingham Office
1671 Worcester Road
Suite 304
Framingham, MA 01701

Framingham Tax Law Office

Boston Office
38 Newbury Street
6th Floor
Boston, MA 02116

Boston Tax Law Office

By Appointment Only