Linda, a small business owner, received a notice from the IRS, informing her of an audit on her Schedule C business expenses for the previous tax year. The notice came as a surprise to her as she believed she had filed her taxes correctly. As a precaution, Linda had purchased Audit Defense at the time of filing. Upon receiving the notice, she contacted TaxAudit’s Customer Service Department, and they opened a case for her and provided information about the next steps. The Customer Service Representative, Roni, reassured Linda that she was in good hands and urged her not to worry. Before ending the call, Roni also mentioned that Linda’s Case Coordinator would be in touch with her within the next few days.
On the same day, Linda's Case Coordinator, Bella, contacted her and asked for the required documents so that she could transfer the case to Linda's Tax Professional. Linda promptly sent all the requested documents. Once the documents were received and processed, Linda's Tax Professional, Dorothy, requested an appointment. Linda completed the appointment request and scheduled a meeting with Dorothy in the next few days.
Before the appointment, Dorothy asked Linda to come prepared with any questions she might have about the notice or process and to have all the documents pertaining to this case on hand. During the appointment, Linda and Dorothy had a productive conversation. Dorothy informed Linda of the additional documents needed and the issues listed on the IRS notice. After the meeting, Dorothy generously provided an extensive list of each expense item being audited and indicated which documents were needed for each category. Linda put a lot of effort into gathering all the necessary information for Dorothy. She organized multiple spreadsheets detailing the expenses, along with evidence such as bank transactions and comprehensive information for each charge related to the business expenses claimed. The information was ready for Dorothy the following week, and she reviewed the documents. After Dorothy’s review, she submitted the documentation to the IRS. Two months later, Linda received a notice indicating that the IRS had allowed most of the business expenses except for one category. They needed additional detailed information about that specific category.
After reviewing the notice, Dorothy asked Linda if she wanted to proceed with revising this section or if she preferred to accept what was stated. Lisa confirmed she wanted to resubmit that part of the response, and Dorothy explained the specific information needed by the IRS for that section to ensure its acceptance this time. Linda resubmitted the document to Dorothy. Upon receipt, Dorothy had the QC team review the submission to ensure it was ready to be sent to the IRS. Once QC approved it, the document was sent to the IRS.
Dorothy contacted the IRS a month later and had great news for Linda! After the IRS reviewed her case again, Linda went from owing $12,000 to $0!
This is what Linda had to say about this case:
“Dorothy was very knowledgable about what materials I needed to pull together and how I needed to present them. I greatly appreciated her guidance on the project.”
*Some names and identifying details have been changed to protect the privacy of the individuals.
Pay one low fee to defend your tax return in the event of a future audit.
