Preparing for an IRS Audit as a Small Business Owner
Preparing for an IRS Audit as a Small Business Owner The word “audit” has a way of making even the most organized business owners uneasy. It’s not necessarily a sign that something’s wrong — often, it’s just the IRS verifying information. Still, the idea of someone reviewing your books can feel stressful if you’re not prepared. The truth is, preparation makes all the difference. With the right steps, an audit doesn’t have to disrupt your business or drain your energy. In fact, many entrepreneurs look into strategic business tax planning in Fort Worth, TX , early on to make sure their records and processes can stand up to scrutiny if the time ever comes. Understanding What an IRS Audit Really Is An IRS audit is essentially a review of your financial records to confirm that your tax return is accurate. It’s not a judgment on how you run your business. Sometimes, audits are triggered by unusual figures on a return. Other times, they’re random. The important thing to know is ...