The IRS has three main types of audits—some being more painful than others.
- Correspondence audit: The most common IRS audit, this typically is conducted by mail and sent for reasons such as missing information, small balances owed, or identity verification. (Note: Be aware that scammers have been sending fraudulent letters to collect funds from unsuspecting taxpayers. Identifying fakes isn’t always easy, but typical red flags include demand for immediate payment, threats of jail time, and grammatical errors and misspellings. If you’re unsure of a letter’s authenticity, you can contact the IRS at 800-829-1040 or visit its website to confirm a letter’s legitimacy or report an incident.)
- Office audit: In this type of audit, taxpayers receive a written summons to go to an IRS office to meet with an agent. This generally happens with more complex tax returns or if the return has multiple items being questioned.
- Field audit: The most comprehensive type of audit, this in-person meeting typically occurs at the taxpayer’s business or home to conduct a thorough examination of the return in question. These audits can often last several weeks or even months, depending on the issues being reviewed and the complexity of the tax return.
For every type of audit, the IRS will provide in advance a written request for the specific documents it wants to see.
