When One’s Business is Being Audited
Running a business can have stressful aspects under any circumstances. Certain things though can add to the stress a business owner experiences. One is finding out from the Internal Revenue Service that their business is going to be audited.
Business audits by the Internal Revenue Service can be looking at all different kinds of things about a business. Some examples include:
- The types of expenses claimed in connection to the business.
- The business’ practices regarding classifying workers as “independent contractors.”
- The business’ income.
- How it handles incoming funds, including cash.
- A business’ payroll tax practices.
So, such audits can involve very in-depth probes of a business’ affairs. They can also involve in-depth looks at the affairs of the owner. Business owners who are dealing with a business audit may be worried about how this probing will impact their business and their ability to efficiently run their business during the audit.
Business owners may also worry greatly about what the results of a business audit will be. What happens in a business audit and what the IRS ends up deciding in such an audit can have significant ramifications for a business and its owner.
In the face of all this stress and worry, a business owner may feel like there is nothing they can do and nowhere they can turn for help. However, a business owner does not have to try to navigate a business audit on their own. They can seek out skilled legal representation to provide them with guidance and help protect their interests and their business’ well-being during the course of the audit. So, contacting a skilled tax lawyer is among the actions a business owner may want to promptly take following discovering that their business will be audited.
Source:FindLaw, “Business Audits by the IRS,” Accessed June 15, 2016
