Successful Schedule C Audits
Author: Jane Ryder
| CPE Credit: |
2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC |
Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2027 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 card
This course discusses successful practices for Schedule C audits. Analyzing taxpayer records to support the amount of gross proceeds reported and substantiating business expenses. Review specific issues with different types of expenses, including home office and auto expenses. Learn to establish rapport with an auditor, advocate for your client, and negotiate reduced audit scope. Plus, audits gone wrong; audit reconsideration, audit appeals, etc. Real-life examples with great outcomes. Review tax situations that may create a greater risk of audit and areas of interest for IRS Schedule C audits.
Publication Date: July 2024
Designed For
Tax practitioners with business clients.
Topics Covered
- IRS Audit letters and forms
- Reviewing business bank and credit card statements
- Specific business expense issues IRS auditors focus on
- Negotiating with an auditor
- Advocating for an audit client
- Cohan Rule and applicable tax court cases
Learning Objectives
- Identify a client's audit issues before the audit starts
- Determine how to advocate for the client and develop a favorable narrative for the client's audit problems
- Identify strong negotiation skills to limit audit adjustments and limit audit scope
- Identify which issues to fight for and which to give up for a favorable outcome
- Determine optimal timing and place of the audit and the client's interaction, if any
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
