What are the chances of being audited?
The IRS audits less than 1% of all taxpayers each year. Certain factors can increase your chances of being selected for an audit. These include:
- Filing a return with errors
- Filing a return that is missing information
- Reporting income that is significantly lower than previous years
- Filing a return that is out of the norm

If you are selected for an audit, the IRS will contact you to schedule an appointment. At the appointment, an IRS agent will review your tax records and ask you questions about your return. It is important to be prepared for an audit and to have all of your records in order. If you are prepared and cooperate with the IRS, an audit can go smoothly.
The Types of Audits the IRS Conducts
The IRS conducts two types of audits: field audits and office audits.
- In a field audit, an IRS agent will visit your home or place of business to go through your records.
This is the more comprehensive type of audit and can last anywhere from a few hours to several days, depending on the complexity of the audit.
- In an office audit, the IRS will provide you with a list of documents they would like you to submit.
You may be asked to bring your records in person, or you may be able to submit copies of your documents by mail or electronically.

After the IRS has reviewed your documents, they will contact you with any additional questions.
What Triggers an Audit?
There are certain factors that can increase your chances of being audited by the IRS. The most common are:
- Filing a return with errors or omissions
- Reporting income that is significantly lower than previous years
- Filing a return that is out of the norm.

Other triggers that can increase the chances of being audited are claiming large charitable deductions, claiming a large number of business losses, and bluffing.
The IRS also has a computer system that looks for entities or individuals that fit certain criteria. If your return fits the criteria set forth by the IRS, you could be selected for an audit. For example, if your return has more deductions in disorganized itemized categories, it could increase the likelihood of an audit.
Your Chances of Being Audited
Certain factors can increase your chances of being audited. These include filing a return with errors or omissions, reporting income that is significantly lower than previous years, and filing a return that is out of the norm. The IRS computer system also looks for returns that fit certain criteria and can select you for an audit.

The good news is, most audits are limited to three years prior to the year for which you are filing. This means that if you filed a return for 2023 and you are audited, the IRS will look at returns from 2019 through 2023.
What to do if you are Being Audited
If the IRS does contact you about an audit, remain calm and cooperate. Be sure to bring any requested documents to the audit and answer all of the IRS agent’s questions honestly and accurately. You should also consider hiring a tax professional to represent you in the audit. They can help you prepare for the audit, defend you during the audit, and negotiate with the IRS on your behalf if necessary.
How to Avoid Being Audited in the Future
The best way to avoid being audited in the future is to be accurate, honest, and thorough in preparing your tax return.
- Double-check your return for errors and omissions before submitting it and make sure all of your information is up to date.
- Keep detailed records of all of your income, deductions, and credits.
- Make sure you are accurately reporting all of your income, minimizing potential deductions, and taking advantage of all of your credits.

The IRS will not question claims from credible sources, so make sure you can back up all of your statements with documentation.
Being selected for an audit can be an intimidating experience, but taking the necessary precautions can minimize your chances of being audited in the future.
Closing Statement
If you are selected for an audit, it is best to hire a tax professional to represent you. Contact us on (405) 384-4900 or send us an Email on marc@boulangercpa.com today!
Marc Boulanger
Marc views his accounting business as an extension of his family. And while he holds a Bachelor of Arts in Business Administration and Accounting and a Masters of Science in Accounting, he values traveling around the country with his wife of 30 years and 5 kids, Marc learned that communication is the key to effective team work.
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