Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
golden-rule
New Member

Evaluate my return for audit red flags

 
1 Best answer

Accepted Solutions
MollsBBU
New Member

Evaluate my return for audit red flags

Besides having deductions that look puffed up, you can boost your odds of getting an audit notice with any of these:

  • being self-employed (opportunities to cheat abound).
  • having a 1099 mismatch (you show a $5,000 capital gain, the broker reports $15,000).
  • having a large income (the IRS gets a better payback for audit efforts among the wealthy).
  • claiming a large non-cash donation.
  • reporting a loss from a business activity that could be a hobby.

 

Please note that the IRS randomly reviews a small percentage of returns regardless of audit risk. In addition, the IRS's focus on audit risk factors changes periodically and is not made public. Please see this Forbes article or this TurboTax Blog for more information about audit risk.

 

Also, see the TurboTax FAQ below for how TurboTax is there for you in the event of an audit:

https://ttlc.intuit.com/replies/4204836

View solution in original post

1 Reply
MollsBBU
New Member

Evaluate my return for audit red flags

Besides having deductions that look puffed up, you can boost your odds of getting an audit notice with any of these:

  • being self-employed (opportunities to cheat abound).
  • having a 1099 mismatch (you show a $5,000 capital gain, the broker reports $15,000).
  • having a large income (the IRS gets a better payback for audit efforts among the wealthy).
  • claiming a large non-cash donation.
  • reporting a loss from a business activity that could be a hobby.

 

Please note that the IRS randomly reviews a small percentage of returns regardless of audit risk. In addition, the IRS's focus on audit risk factors changes periodically and is not made public. Please see this Forbes article or this TurboTax Blog for more information about audit risk.

 

Also, see the TurboTax FAQ below for how TurboTax is there for you in the event of an audit:

https://ttlc.intuit.com/replies/4204836

View solution in original post

Dynamic AdsDynamic Ads
Privacy Settings
v