Written by: Sherry Board, EA
This is an older case, but I wanted to share the story because I believe it is the largest dollar amount we have ever “saved” a member here at TaxAudit.com. It was August of 2006 when our member received a notice for a proposed balance due of $10.3 million. He had traded and sold precious metals and gems during the year, and there were hundreds of transactions. But when he prepared his tax return he reported all of the hundreds of transactions as a single line item on his Schedule D form instead of reporting each transaction individually. All of the items were listed on his broker statements, but he did not send the statements in with this tax return when he filed because he was unaware that this is what is required by the IRS when you combine multiple transactions into one line item on your tax return. The IRS could not match up what was reported to them by the brokers with what the member had entered on his tax return, and the computer-generated CP2000 notice for $10.3 million in unreported income was the result.
We spent hours working with the member and double-checking the excel spreadsheet he prepared with the hundreds of transactions from the broker statement. Finally, we came up with the correct amounts of securities sales and net proceeds. We submitted our response to the IRS in hopes of getting a favorable response. A month and a half later we received a recomputed notice with a balance due of approximately $6,700, which included penalty and interest.
The member was very thankful for our services. He sent us a huge box of Harry and David goodies that we enjoyed for months.
TaxAudit.com gets dozens of comments from customers we have helped every week. Below are just some of the reviews we received last month.
This was my first time actually using the audit defense though I have purchased it in the past. From the beginning, the staff at TaxAudit were extremely helpful. They let me know exactly what I needed to send them and how to acquire the documents I needed. Every question that I had was always answered in a manner that I understood, quickly and conveniently. I don’t plan on being audited again for a little while, but you can be sure that if I do, I know that I will have the people at TaxAudit to help me out. Thank you very much for all your help!!Ryan, Middle Island, NY
I wish to thank TaxAudit.com for making this process smooth and as painless as possible.Ivan, Lincoln, NE
Dung T was an amazing and calming advocate I would always want in my corner. TaxAudit.com gave me a stress free process I will recommend to friends and colleagues again and again.Awam, New York, NY
I could not have made it through this ordeal without the kind and professional manner in which my audit representative assisted me. His knowledge as well as his patience were beyond my expectations. Thank you!Carol, Millington, TN
Our audit rep was OUTSTANDING. He did a great job. Kept us informed and gave us peace of mind during the audit.Cris, Temecula, CA
It was good to have an expert to deal with the IRS.Arthur, Washington DC
My audit representative was terrific from start to finish. She really walked me through the process and made me feel like she was working for me to bring about a positive result. I would not hesitate to recommend Tax Audit service to my friends and family. I felt like I had a whole team of professionals working for me and all for such a reasonable fee. Thank you.Donald, Brooklyn, NY
Never happy to see an IRS audit letter in the mail; but extremely happy to know that add-on to the Turbo Tax process was indeed a legitimate and value-added purchase. Will be sleeping better for many returns to come. Thank you!Terry, Ennis, TX
This was my first experience, and the manner in which it was handled was outstanding. I will continue using TurboTax and purchasing the Tax Defense service as in the past.Miro, Taylors, SC
It was like working through a problem with a friend instead of how the IRS makes you feel like a criminal. I highly recommend using the service. I have never received more one on one personal service from anyone even face to face. THANK YOU!!!Robert, Union, OH
I wanted to cry when I got the letter from the IRS saying a owed a ton of money. But thanks to the team at tax audit, I got money back instead! Pleasant experience working with my coordinator and representative. I’ll always be a fan of TaxAudit.comAnthony, Wappingers Falls, NY