What is a Correspondence Audit?

In short, a correspondence audit is an IRS audit that’s performed through the mail. The majority of IRS audits – over two-thirds – are correspondence audits. Rather than a full-blown, in-person examination of your assets, a correspondence audit simply requests that you mail in certain documentation supporting specific parts of your return. Here’s what you need to know about this type of audit. Correspondence Audit = Low-Level Audit Correspondence audits are considered the lowest level of IRS audit. These audits usually involve relatively small amounts of money, as IRS audits go, and are used for resolving fairly simple tax matters. If you’re the subject of a correspondence audit, you’ll generally receive a letter requesting further information regarding some aspect of your tax return. You might also receive a CP2000 letter, which informs you of proposed changes to your income, credits, payments, or deductions. Remember that the IRS has up to…

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