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A lot of times I’m asked if I need to do the individual taxes and the business taxes, and I always say yes, because proactive tax planning, it involves both. If you’re an S-corporation or your partnership and your income is passed through, I’m gonna need to see what your individual tax assessment is to Read More

Proactive tax planning is my absolute favorite thing to do on the planet. It’s where I really shine. It’s where our firm shines and it’s what separates PLR from, I’m gonna say 90% of the firms out there. Proactive tax planning happens in several different ways. Our office has a really structured process on this, Read More

Avoiding an IRS audit can be very simple. Hire the right practitioner. You wanna hire a CPA that is an expert in tax, not A CPA. That’s a forensic accountant or an accountant for a private company. You wanna make sure you’re hiring a tax practitioner and that their name is going on that return. Read More

Top three things that happen in an audit is you get your notice of audit, and that notice of audit requires you to provide a lot of information within a very short time period. Second step is all that information is gathered and organized and it’s provided to the agent. Then the agent is able Read More

Yeah, so ultimately it’s the bank’s responsibility to be in compliance with what their reporting obligations are. If there’s a straight $8,000 a month transfer of funds, the bank has to report that. That’s very clear. But if one month it’s 7$,850, the next month it’s $7,900. The month after that, it’s $6,200. I don’t Read More

With information technology, the IRS is able to spot side hustles a lot easier. Now you’ve got PayPal, Zelle, Venmo. You know, banks are required to report deposits of certain amounts or frequently that same amount, right? If it’s under the $8,000, you know, are we doing $8,000 every month? Is this a continuous? So Read More

There’s also audit situations where the IRS looks at corporate returns and certain line items that have glaring values. Cost of good sold, for example, is one, they’re looking at a cost of good sold, and they’re seeing that it’s really outside of the scope of the normal course of business for that type of Read More

There’s other things like lifestyle audits. If you’re reporting that your mortgage interest is, you know, $30,000, but your income is $20,000, the IRS probably wants to know where you’re making money to pay for that. If you have no interest income, dividend income, investment income, they’re gonna look at the scope of the filing Read More

This is the funniest part about auditing is all of the myths, and I love being a MythBuster in this area. All the myths of, well, if I file late, I’m gonna get audited. I have been doing continuing education for 20 years on auditing, and that is never the reason someone gets audited. Audits Read More

The burning question is, how long is this audit going to take? And the answer is, I don’t know. I am here to make this as painless and fast as possible. What I will say in my experience specifically as an enrolled agent, and this is specific to enrolled agents, the IRS understands the knowledge Read More