Tax Audit in Elizabeth, New Jersey

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Tax Audit Lawyers in Elizabeth

A "tax audit" is a procedure in Elizabeth, New Jersey where the tax authorities investigate a taxpayer's (whether the taxpayer is a person or corporation) filings when it looks like there's some kind of discrepancy. However, many state and federal tax audits are the result of random selection, when the authorities don't necessarily think that a taxpayer has deliberately evaded their taxes.

The actual procedure involved in a tax audit in Elizabeth, New Jersey is usually fairly straightforward. If you hare chosen for an audit, you will receive a letter in the mail telling you as much. Before responding, it's important for you to make sure that the letter is authentic, because there are scammers who send fake audit letters to innocent victims, in an attempt to extort money out of them. You should search the Internet for the name of the organization that the letter claims to represent, and call them using the contact information on their website, and confirm that you are actually being audited.

Once you receive the letter, and confirm its authenticity, you will have to meet with an auditor at the time and place specified in the letter, and subsequent communications with the auditor. The auditor will tell you what documents and records you need to bring to the meeting. They will then ask you some questions to clear up whatever discrepancy they found in your tax return.

Reasons For a Tax Audit in Elizabeth, New Jersey

There are plenty of reasons why New Jersey's government, or the federal government, might conduct a tax audit.

As mentioned above, an audit can happen simply because a person was chosen for an audit at random. If you are randomly chosen for a tax audit, and you have been honest and diligent in preparing your tax documents, it will probably be a quick, painless process, and you likely don't have anything to worry about.

However if the IRS or other tax agency suspects actual wrongdoing by an Elizabeth, New Jersey taxpayer, that's a different matter. There are many different reasons why a government might decide to audit a taxpayer. The most common one is suspicion that they have underreported their income. If a taxpayer buys a large number of expensive luxury items, but reports little or no income on their tax returns, the government will definitely want to know where the money to buy all those things came from, and why it hasn't been declared as taxable income.

It is also common to be audited in Elizabeth, New Jersey if you claim a huge number of deductions. A tax deduction is simply a legal subtraction from one's taxable income. Many different expenses, including charitable donations, interest paid on mortgages, and others, are deductible from one's taxes. If you claim so many deductions that you have negated almost all of your tax liability, you can bet that the government is going to be suspicious.

How Can A Elizabeth, New Jersey Tax Lawyer Help?

If you are audited in Elizabeth, New Jersey, and believe that you have done everything right in preparing and filing your tax return, you probably don't have much to worry about. If there is anything wrong with your tax return, it was probably the result of an honest mistake, which will result in light penalties - usuallyy just an order to pay any back taxes you owe, plus interest.

However, there are times when an audit is conducted to investigate far more serious issues. If you find yourself facing allegations from the IRS of serious wrongdoing, and believe yourself to be innocent, you should seek the advice of an Elizabeth, New Jersey tax attorney immediately.

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Life in Elizabeth

Elizabeth, New Jersey is located in Union County and has a population of over 124,000 people. Elizabeth is the 4th largest city in New Jersey and also serves as the county seat for Union County. In 2008, Popular Science Magazine rated Elizabeth, New Jersey as one of the 50 Greenest Cities in America. It is also one of the nation's oldest cities, being founded in the year 1655 and incorporated in March of 1855.

The city of Elizabeth, New Jersey is an unique combination of business and residential developments. A few examples of Elizabeth's major employers include Bayway Refinery and Newark Liberty International Airport. The Jersey Gardens outlet mall and the Elizabeth Center also generate large amounts of revenue.

Elizabeth, New Jersey is filled with U.S. historical landmarks. Residents and tourists can learn about American history at places such as Liberty Hall Museum. Liberty Hall is a historic mansion built in 1772 by William Livingston, one of the signers of the U.S. Constitution. Many notable U.S. persons were born and raised in Elizabeth, such as author Judy Blume and Poet Joe Weil.

Lawyers in Elizabeth, New Jersey offer assistance for a variety of legal matters and issues. The Union County Courthouse Complex is located in Elizabeth. Many Elizabeth attorneys resolve legal disputes at the courthouse.

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