Tax Audit Lawyers in Loudon County

A "tax audit" is a procedure in Loudon County, Virginia where a taxpayer's tax return is investigated in detail, to ensure that everything on it is accurate. There are many different reasons why you might be audited, but it's typically because there is something suspicious about your tax return. This doesn't necessarily mean that you did anything wrong; it just means that the tax authorities aren't clear about what is going on with your financial situation, and want to investigate further to clear things up, and ensure that nothing illegal has happened.

In Loudon County, Virginia 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.

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 typically 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 Loudon County, Virginia

Tax Audits in Virginia can occur for a wide variety of different reasons.

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 forthright and diligent in collecting your tax documents, it will probably be a quick, painless process, and you likely don't have anything to worry about.

However, some people in Loudon County, Virginia are audited because the government suspects that they are underreporting their income. For example, if you report that you only make ,000 per year, and then go out and buy an expensive sports car, the IRS and state tax authorities are going to want to know where the money to buy that car came from.

It is also common to be audited in Loudon County, Virginia 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 Loudon County, Virginia Tax Lawyer Help?

If you find yourself on the business end of a tax audit in Loudon County, Virginia, and you are sure that you have reported all of your income, and not claimed any invalid deductions, chances are you were just chosen at random for an audit, and you probably don't have any cause for concern, other than the inconvenience that an audit represents. If you are found to owe any back taxes, and your failure to pay in the past was the result of an honest mistake, you'll likely be afforded a chance to pay any taxes you owe from past years, with the possible addition of interest.

However, if the situation is more perplexing, you may need to hire a Loudon County, Virginia tax attorney. A tax attorney can help you through your audit, and make sure it goes as smoothly as possible.