Tax Audit in Hoffman Estates, Illinois

Find the right Tax Audit attorney in Hoffman Estates, IL

Tax Audit Lawyers in Hoffman Estates

In Hoffman Estates, Illinois, a "tax audit" is a procedure in which the IRS or local tax authorities conduct an investigation of a taxpayer's tax filings, looking at them in more detail than they ordinarily do. Normally, they do this because there is something suspicious in the tax return. State and federal tax authorities also do a some number of random audits each year, without necessarily suspecting that an individual auditee has done anything wrong.

In Hoffman Estates, Illinois the procedure of being audited is relatively simple. If you are chosen to be audited, you will receive a letter in the mail telling you as much. It's important to verify the authenticity of this letter, because sometimes con-artists will pose as tax authorities, and conduct fake audits of unsuspecting taxpayers, then claim that they owe the government more money. If the victim pays, the scammer takes the money and runs. To verify that a letter is authentic, you should contact the nearest branch of the relevant tax authority. Do not simply call the number provided to you in the letter, since it will probably lead to the scammer. Use a phonebook or the Internet to find the actual number you should call.

After confirming that the audit you're facing is really legitimate, there are a few things you can do to prepare. Initially, you should assemble all of the appropriate documents you have in your possession. This should include your tax return, W-2 forms, and records of any expenses that you claim as deductions. You should bring these documents, and any others that the auditor requests, to the meeting. At the meeting, the auditor will ask you a number of questions, which you should answer honestly and to the best of your knowledge.

Reasons For a Tax Audit in Hoffman Estates, Illinois

There are plethora of reasons why Illinois's government, or the federal government, might conduct a tax audit.

As considered earlier, tax audits can be conducted at random. Evidently, the government doesn't have the resources to audit every taxpayer under their jurisdiction. But, by conducting a considerable number of random audits each year, taxpayers are, in theory, discouraged from cheating on their taxes, because they know that they might be audited randomly. If you are chosen for a random audit, and have done everything right, you almost definately have nothing to worry about.

Nonetheless if the IRS or other tax agency suspects actual wrongdoing by a Hoffman Estates, Illinois taxpayer, that's a different matter. There are various different reasons why a government might determine to audit a taxpayer. The most frequent one is suspicion that they have underreported their income. If a taxpayer buys a massive number of expensive luxury items, but reports little or no income on their tax returns, the government will definitely want to discover where the money to buy all those things came from, and why it hasn't been declared as taxable income.

Claiming an unusually-high number of deductions is another frequent reason for tax audits in Hoffman Estates, Illinois. A tax deduction is some expenditure that you can subtract from your taxable income, thereby reducing your tax liability. If you claim such a wide number of deductions that your tax liability has been reduced to almost nothing, the IRS will probably want to make sure that all of these deductions are legitimate.

How Can A Hoffman Estates, Illinois Tax Lawyer Help?

If you experience an audit in Hoffman Estates, Illinois, and believe that you have properly reported all of your income on your tax filings, it will probably go fine. And if there is anything wrong with your filings, it was likely the result of an honest mistake, and auditors are generally sensitive to this fact. In such cases, the penalty is normally light. It will probably be little more than a requirement that you pay back taxes and interest.

But, there are some tax audits that are far more confusing and serious than a tax return having a few more deductions than usual. If this is the situation you're in, you should contact a Hoffman Estates, Illinois tax attorney as soon as possible, to help make sure that your tax audit goes smoothly.

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Life in Hoffman Estates

Hoffman Estates is situated to the northwest of downtown Chicago. This Cook County city is an affluent suburb that is home to 54,000 Illinois residents. Because it's an affluent city with many attractions, many lawyers call it home. Hoffman Estates lawyers are familiar with local courts and procedures, consulting on a wide range of cases. Major industry in Hoffman Estates include the headquarters of the Sears Holdings Corporation, the ATT headquarters for the Midwest, American headquarters for Japanese machine tool manufacturer Mori Seiki, and a number of sports teams.

The Sears Centre in Hoffman Estates plays host to major indoor soccer team Chicago Storm, the Chicago Slaughter indoor football team, and Chicago Bliss lingerie football team. More recently, Heartland International Tattoo relocated to the Sears Centre. It's one of the largest music and dance festivals in the Midwest. Hoffman Estates gained prominence in the mid-1960s and early 1970s when the Centex corporation began mass producing homes on adjacent lots. The location was desirable because the Northwest Tollway opened providing direct access to Chicago's downtown businesses. Soon afterward the Woodfield Mall opened and a master planned community began construction attracting a number of corporate headquarters and tourist attractions. 

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