Does an Audit Defense Membership include Back Taxes?

September 20, 2021 by Charla Suaste
Back Taxes

Owing the IRS or your state taxing agency additional taxes is never anyone’s cup of tea – so when you discover you owe back taxes, what should your next steps be? First, let’s talk about what back taxes actually are. Back taxes are defined as taxes that were not paid in the year they were due. Penalties and interest may also get tacked onto back taxes the longer they remain unpaid.

So how do you know if you owe back taxes?

Typically, you should know upon filing whether you will owe taxes for that income tax year. However, if the return was filed incorrectly (or not filed at all), your taxing agency will mail you a notice informing you of additional tax that may be due. These notices explain why they believe you owe the tax and what your next steps should be. Some of them may ask for additional documentation – or may simply request payment.

In either case, if you have an Audit Defense membership with TaxAudit, you should contact us immediately upon the receipt of such a notice. We will assign you to one of our world-class tax professionals who will review the notice – along with your tax return – and determine whether the notice is correct.

If the notice is incorrect, your tax professional will work with you to supply the appropriate documentation to the taxing agency to defend your case. If the notice is correct, we will advise you on the steps you will need to take to make payments to the taxing agency. In some cases, we may also refer you to our Tax Debt Relief team who can help you determine if you qualify for any of the IRS or state tax debt relief programs, or advise you on a personalized program to resolve your tax debt. (Note: these services are not included in your Audit Defense Membership.)

If you have already received a notice from the IRS or state taxing agency and do not have a membership with us, we also offer audit evaluations in which our audit team will review your notice and tax return to determine whether we can assist you. If we believe we can effectively represent you, we will offer you a flat-fee quote for our service, which includes:
 

  • Reviewing your documentation before the IRS sees it.
  • Scheduling and attending all state or federal income tax audit appointments on your behalf.
  • Preparing requests for appeals conferences.
  • Defending your income tax return through the highest level of appeals.
  • If necessary, preparing a U.S. Tax Court Petition.
  • Minimizing the financial impact of a state or federal income tax audit.

Ultimately, our goal is to always make sure you never pay the IRS or any state taxing agency more than you rightfully owe. If you would like to make sure you have audit defense prior to receiving an IRS or state notice regarding back taxes, you can purchase memberships for your previously filed tax returns today by visiting our website or contacting our Customer Service team at 800.922.8348. We are here to help you!

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Charla Suaste
Communications Content Developer

 

Charla Suaste joined TaxAudit back in 2007 and, over the past 14 years, she has worked in a variety of different roles throughout the organization, including as a Customer Service Representative, Case Coordinator, and Administrative Services Assistant. She now serves as the Communications Content Developer and is passionate about writing, editing, and making even the most complex concepts easy to understand. Outside of work, Charla enjoys traveling, listening to podcasts, and spending time in her garden.


 

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