The IRS examines or audits tax returns to verify that what the taxpayer reported is correct. This doesn’t mean that the taxpayer has made an error or been dishonest. In fact, some examinations result in a refund to the taxpayer or acceptance of the return without change.
There are various reasons the IRS may telephone or visit a taxpayer at home during an audit, but at that point the taxpayer would be well aware of the audit.
- IRS employees conducting audits may call taxpayers, but not without having first attempted to notify them by mail. After mailing an official notification of an audit, an auditor/tax examiner may call to discuss items pertaining to the audit. We may visit the taxpayer’s home or business without notification to the taxpayer if attempts to communicate with the taxpayer in other ways, such as letters or phone calls, are not successful. An audit may include an interview with the taxpayer or his or her Power of Attorney, if one is appointed, and sometimes include a tour of the taxpayer’s business operation.
- Third party contacts – if while examining one taxpayer’s return, we need information from someone else, we will first issue a letter to that third party requesting the information. After that we may contact them by telephone. We may visit the third party’s home or business first to deliver the notices/letters requesting information. We may also visit the third party’s home or business without notification to the third party if attempts to communicate with the third party in other ways, such as letters or phone calls, are not successful.