Saturday, March 24, 2012

How To Tell Whether The IRS Might Audit You

8:30 am, March 23rd | by Amy Tennery
How To Tell Whether The IRS Might Audit You [Infographic] 
It feels like one of those far-off, impossible scenarios that only happen to people in sitcoms — or the darkest of dark comedies: Getting audited by the IRS.
But yes, it can happen. To you. Shaking yet?
Okay, calm down. Luckily, the helpful folks at TurboTax have crafted the infographic below, which explains how likely it is you’ll be targeted by the tax man. And while certain activities (like… filing your taxes correctly and on-time) can lower your chances, so can being a member of some certain demographics.
The good news? Many audits go to corporations with assets upward of $10 million. I’m guessing you’re not a corporation with assets upward of $10 million. As far as individuals go, a far greater proportion of high earners (people raking in more than $1 million a year) are likely to face auditing than the rest of us pleebs.
So, way to go, average person! You probably won’t get acquainted with the IRS anytime soon. I’m sure you’re thrilled. You still have to file your taxes though.