How to Handle the Top 10 Issues in an IRS Small Business Audit
Author: Jim Buttonow
| CPE Credit: |
2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC |
This course delivers step by step guidance for tax professionals representing small businesses that face IRS field audits. Small businesses continue to remain a primary focus of IRS enforcement efforts due to income underreporting and deduction and credit examination risks. When an audit occurs, clients rely on their tax advisor to confidently guide them through the process and protect their interests.
In this course, you will gain practical insight into the IRS’s small business audit priorities and learn how to address the top ten issues most frequently examined by IRS auditors. The program walks through the IRS field audit process from initial contact through examination and resolution, highlighting the records the IRS expects, how income is analyzed, and where audits most often go off track. You will also learn proven preparation strategies to help you anticipate auditor questions, organize critical documentation, and position your client for the best possible audit outcome. By applying these techniques, you will be better prepared to manage audits efficiently, reduce client stress, and enhance your value as a trusted small business tax advisor.
Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2029 to receive credits. NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN cardPublication Date: March 2026
Designed For
This course is ideal for tax and accounting professionals who advise or represent small business clients and want to confidently manage IRS audit risk.
Topics Covered
- IRS audit focus and compliance concerns for small businesses
- Overview of the IRS field audit process and timeline
- The top ten IRS audit issues affecting small businesses
- Income examination techniques and documentation requirements
- Best practices and preparation strategies for successful audit outcomes
Learning Objectives
- Identify why small businesses are a primary focus of IRS compliance and audit activity
- Explain the top ten audit issues commonly examined in IRS small business audits
- Evaluate client records to determine which documents are critical in a small business audit
- Apply the stages of the IRS field audit process when representing small business clients
- Prepare clients for an IRS small business audit using proven audit‑readiness strategies
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
