Internal Revenue Service audits (or “exams” in IRS lingo) are an
integral part of the tax compliance landscape. Although statistically
few returns are selected for exam each year, this fact tends to be of
little comfort to the taxpayer who has won the “audit lottery.” While
CPAs cannot do much to prevent a client’s return from being audited,
they can perform a valuable service by assuring that the exam is no more
of a burden on the client than is necessary and that the client’s rights
and interests are adequately safeguarded. Accomplishing this objective
begins with a familiarity with the audit process.