Fear of an IRS audit is incredibly common, even if the actual odds of one are much lower than you think. After all, the federal tax agency audits only about one in 250 individual files (roughly .4%) each year.
However, getting selected isn’t entirely random. Common red flags like disproportionate deductions, omitted income, or simple reporting mismatches can increase your chances of a manual review.
Think you can spot the warning signs? Take our quick five-question quiz to test your knowledge of IRS audit red flags.
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more – straight to your e-mail.
Profit and prosper with the best of expert advice – straight to your e-mail.
Latest Videos From
