Spring is finally here! The sun is out and the birds are singing, but unfortunately with Spring also comes the dreaded April 15th- the day we all have to reach into our pockets and pay our taxes. Paying our taxes is just one piece of the puzzle however, and many people are subject to something much worse, the dreaded IRS audit. At JD Katz Attorneys at Law, we pride ourselves in having years of experience and we have seen it all. If you are worried about getting audited, heed these helpful tips from our Maryland Tax lawyer, they may help you to avoid an audit:
- Records- You should keep records for up to 10 years. Keep anything and everything related to your taxes, such as receipts, forms, etc. Although good records can help you to avoid being audited, if you do indeed get audited the records will help it to go a lot smoother.
- Keep it separate- If it can be avoided, never mix business and personal. If there is any question of whether you should deduct something for your business or not, it is always better to stay on the safe side.
- 1099s- While keeping track of all of your 1099s can be a pain, the smallest discrepancy could lead to an audit, so it is very important that you keep track of all of them.
Although there is no real way to make yourself immune to an audit, these few tips may help. As always, if you are selected for an audit, you don’t have to face it alone. Give us a call today. We are always happy to help.