The IRS filing an audit is actually a pretty rare feat, but if it does happen you’ll be in for a harrying ride. Regardless of whether you’re in the right or wrong, it’s probably in your best interest to avoid an audit at all costs- so here are a few of the best ways to drastically reduce the odds that the IRS will come knocking on your door:

1. Be Honest

There’s a time and a place for trying to find loopholes, but when it comes to reporting income, deductions or credits, being honest is probably going to save you a lot of time, money, and explaining. Obviously there’s a chance you could get away with lying about your statements, but taking that risk could jeopardize plenty when you get audited. You should be prepared to provide evidence regardless of whether you work for a company or you’re self-employed.

2. Double Checking

When IRS agents look at your returns, the first thing they’ll look at is your data entry. Most of the time, you’ll have your figures right, but even a small slip up can bring the IRS to your door demanding an audit. Fortunately, double checking figures is actually a pretty easy task. If you’re using a software, they generally have checking criteria built into their coding, but if you’re filing a return on your own, it’s best to wait for all of your statements to come in before filing. After you’ve filled out all the pertinent data, you just need to see if the data matches. Then you’ll be good to go.

3. Understand Deductions

Auditors love to look at the deductions you may or may not have noted when you file a tax return, so knowing how to properly claim deductions can save you an audit. Legitimate business expenses can be considered deductions, like taking a client out for lunch.

4. File Electronically

Paper returns on average tend to have a higher rate of error when compared to electronically filed tax returns. Thus, if you really want to avoid an audit, it’s probably in your best interest to e-file. The Internal Revenue Service maintains that filing returns electronically can “dramatically reduce errors,” lowering the odds of an audit.

Regardless of how many preemptive measures you take to avoid getting in trouble with the IRS, there’s still a chance you could be audited. If it happens and you’re in the wrong, you’ll need an experienced team of tax consultants to help ease you along the complicated set of guidelines and options available to you. The Defend Tax Payer has a wealth of knowledge dealing with nearly every tax scenario and can help you get back on your feet. Your future is brighter with the Defend Tax Payer!

Although tax day for 2014 is officially over, it’s never too late to look at taxes. Every year, thousands and thousands of people get into trouble with the IRS over unfiled returns or via audits- nobody wants a financial death sentence on their hands- so it’s a great idea to look at some of the most commonly held beliefs regarding taxes and why they might be doing you a lot of harm.

• “Voluntary” Taxes

Some people argue that within the tax code there is a caveat that renders paying taxes voluntary. This couldn’t be farther from the truth. This doesn’t mean that paying taxes is voluntary, but rather that individuals are responsible for paying the correct amount.

• The IRS Will File Your Return

Very much like the thinking above, many people claim that the IRS is legaly obligated to file a return from you. This, unfortunately, isn’t the case and will ultimately leave you very angry. The IRS may determine to file a return for you if they suspect fraud, but otherwise, you’re on your own.

• Working From Home

A few decades ago, when home offices were fairly rare, the IRS was very likely to single out people who worked from within the confines of their home for an audit. These days, since home offices are highly common, claiming a tax deduction won’t automatically bring the IRS to your door. There’s no real need to be worried unless your home office doesn’t fall within what the IRS defines as a home office.

• Illicit Activity

A commonly held belief is that illegal earnings aren’t taxable- however, the IRS couldn’t care less what crimes you commit. Drug money, blood money, embezzlement, and legal earnings are all the exact same to IRS agents. All they care about is that you file a tax return on your income so the government can make some money. But just because it’s taxable doesn’t mean the cops won’t come banging on your door.

• Internet Money

Why would you have to pay taxes on internet earnings? Even though all internet earnings aren’t illegal, the logic is the same as the above myth. The IRS doesn’t care where your money came from- the only thing that matters is that you pay your portion of fees back to the government (as long as you make more than $400).

• My Accountant Will Take Any Blame

Ultimately, hiring an accountant is your prerogative, but make sure you hire a really good one because if they make a mistake, you’re responsible.

You’ve probably heard one of these myths uttered, and it might have caused you to file late, not even file at all, or even file wrongly. So know this, it’s in your best interest to get in contact with a quality tax consulting firm if you’re in any trouble with the IRS. The Defend Tax Payer’s 35+ years of tax experience can help you out of any hole and into the future. Call them today to start to get a fresh start!