Tax Audit in Knoxville, Tennessee

Find the right Tax Audit attorney in Knoxville, TN

Tax Audit Lawyers in Knoxville

An "audit" is an administrative proceeding in Knoxville, Tennessee whereby the IRS, or a local tax-collection agency looks at a person's (or business's) tax filings in more detail than they do in ordinary cases. This is normally done when the tax return has a suspicious discrepancy on it, or if the taxpayer was simply picked at random. It's not uncommon for tax authorities to conduct random audits, providing people with an incentive to be honest on their taxes, knowing that they could be audited at random.

The process of a Knoxville, Tennessee tax audit is normally pretty straightforward. If and when you are faced with a tax audit, you'll receive a letter from the IRS, or its state equivalent, telling you that you're being audited. However, you should not assume that this letter is authentic, because con artists will sometimes send fake audit letters to squeeze money out of innocent taxpayers. You should obtain independent confirmation of the letter's authenticity by searching the Internet for the name of the government agency in question, and contact them for more information.

Once you have confirmed that your audit is authentic, you will be required to meet the auditor at an agreed-upon time and place. The auditor will normally inform you about what documents and other evidence you need to take to the meeting. At the meeting, they will ask you a long series of questions about your taxes, to clear up the thing they're uncertain about.

Reasons For a Tax Audit in Knoxville, Tennessee

A tax audit in Tennessee can be done for almost any reason at all

As mentioned earlier, you might get audited simply because you were chosen at random. If this is the case, and you know that your tax return was completely truthful, and have the documentation to back it up, you shouldn't have anything to worry about.

However if the IRS or other tax agency suspects actual wrongdoing by a Knoxville, Tennessee taxpayer, that's a different matter. There are many different reasons why a government might decide 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 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 Knoxville, Tennessee 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 Knoxville, Tennessee Tax Lawyer Help?

If you are audited in Knoxville, Tennessee, and believe that you have done everything right in gathering 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 - normallyy 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 obtain the advice of a Knoxville, Tennessee tax attorney immediately.

Talk to a Tax Law Attorney now!

Life in Knoxville

Knoxville is the seat of Knox County and 3rd largest municipality in the State of Tennessee. That means a number of courts like Knox County and Tennessee State Courts are located in Knoxville. Likewise, Knoxville is home to some of Tennessee's most outstanding lawyers. Knoxville lawyers are familiar with local and Federal cases like bankruptcy, divorce, immigration, and personal injury lawsuits. Aside from the legal business, Knoxville is home to some nationally known institutions that help attract people to the city. The University of Tennessee, the Department of Energy facility Oak Ridge National Labrotory, the National Transportation Research Center, the Tennessee Valley Authority, and a number of business' headquarters. Producers of Bonnaroo Music Festival AC Entertainment, the Pilot Corporation, Sea Ray, Brunswick Boat Group, and Scripps Networks Interactive (HGTV) are all headquartered in Knoxville. That could be why Forbes Magazine named Knoxville among the "top 10 metropolitan hotspots" and "top 5 business and career" cities in the United States. Knoxville events and attractions encourage a number of tourists to visit each year. Blender magazine named Knoxville the 20 most rock and roll cities in America. It plays host to the 17 day long Dogwood Arts Festival, Kuumba Festival, and Boomsday, the largest Labor Day fireworks display in the United States.

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