Learn to identifying trends in correspondence audits, ensuring timely and appropriate responses to requests.
In recent years, the IRS has initiated approximately 750,000 examinations per year of which roughly 80% are correspondence examinations. In Fiscal Year 2022, the IRS recommended $8.3 billion of additional recommended tax in correspondence examination. Taxpayers are often confused or scared of responding to requests to submit documents to the IRS. This often results in the IRS disallowing expenses, credits, or potentially increasing income, simply by not receiving a response. This presentation will assist taxpayers and practitioners with identifying trends in correspondence audits, ensuring timely and appropriate responses to requests, and understanding the avenues to continue protesting, in light of a potential undesirable examination outcome. This program will also detail potential remedies if deadlines are missed.
Learning Objectives
- You will be able to describe why the IRS engages in the practice of correspondence examinations and express the ways to fight for a just outcome for your client.
- You will be able to discuss the mechanisms available to respond to an IRS correspondence examination, including during the exam, appeals, and tax court levels if necessary.
- You will be able to identify opportunities to assist clients who did not respond to IRS correspondence letters and were (wrongly) accessed tax and penalties.
- You will be able to recognize the possible triggers on tax returns for correspondence examinations.
Agenda
Intro to Correspondence Exam
- What Is a Correspondence Exam
- Tax Topics Often Covered in a Correspondence Exam
- Current Trends
Initial Letter From the IRS
- Stay Calm!
- Review Schedule Being Examined
- Different Types of Correspondence Exams
- Look at When Letter Was Sent and Submission Deadlines
Next Steps
- Obtaining Power of Attorney
- Determine If an Extension of Time Is Required
- Corresponding to IRS If Necessary
- Obtain Source Documents From the Client and Draft Response
- Best Practices for Drafting
- Follow-up Conversations With the IRS
- Best Practices for Follow-up
Appeal
- 30-Day Letter Received
- Drafting Appeal Response
- Appeals Process
- Chance for Face to Face Meeting
- Hazards of Litigation
Tax Court
- Notice of Deficiency
- Statuary Time Frame to Petition Tax Court
- Petition
- Tax Court Proceedings
Speakers
Michael Raff, Esq.,
Brotman Law- Director of Legal at Brotman Law
- Practice emphasizes all aspects of Audit Defense, Appeals and Collections Representation, International Tax Resolution, Voluntary Disclosure, Employee Retention Tax Credit Filings, Compliance, and Audit Representation, and Criminal Tax
- J.D. degree, Chicago Kent College of Law; L.L.M. in Taxation, Georgetown University
- Chair Of Illinois State Bar Association Federal Tax Committee
Who Should Attend
This live webinar is designed for accountants, tax managers, tax preparers, CFOs, controllers, enrolled agents, business managers and owners, presidents, vice presidents, CEOs, executives, bookkeepers, and attorneys.
