The IRS has expanded its use of correspondence to request additional information and verification of certain items on tax returns.
In that regard, the IRS has expanded its use of correspondence examinations rather than field examinations and reports indicate a 170% increase in correspondence examinations versus only a 25% increase in field examinations.
Generally, an IRS correspondence exam consists of written requests for information to be verified and possibly submitted to an IRS office for further consideration, whereas, a field examination is when an IRS agent will perform a face-to-face, onsite examination at your place of business or residence.
If you get a letter, give us a call so we can help you develop a plan. Don’t delay!
For more information see the following link to the Journal of Accountancy article. http://www.journalofaccountancy.com/Issues/2011/Aug/20114142
Tags: correspondence exam, field exam, IRS
