It’s never happened to me personally (knock on wood!), but I imagine that being notified that you’re going to be audited is one of the scariest things that can happen to you. Most people are upfront and honest about their taxes to avoid this very thing. In fact, the reason that most audits happen is NOT being shady with your income- it’s making mistakes on your tax forms. Check out this post by Kori at the Kori@Home blog for how to avoid tax audits this season and every year to come:
-Be honest with your income. Declare it, and declare ALL of it. This is especially important for bloggers and other independent contractors!
-Be clear and double check- miscalculations will send red flags to the IRS. Using tax software will help.
-Also double check your filing status, social security info, and all other personal information!