Little can strike more fear in the heart of taxpayers than the prospect of the IRS questioning their tax return.
For most people, the chances of an audit are slim.
Of the nearly 148 million individual tax returns filed in 2016, just 0.7 percent (about 1 million) were audited, according to the IRS.
The item that increases your chances the most? Making a lot of money. If you earn more than $1 million, the audit rate jumps to 5.8 percent.
“This is one case where the less money you make, the better off you are,” said Bill Smith, managing director at CBIZ MHM’s National Tax Office in Washington.
While getting contacted by the IRS regarding your return will not always result in owing more to Uncle Sam… it usually does mean you face additional taxes…
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