Tax Relief Heroes

IRS Tax Audits: What to Expect and How to Prepare

An IRS audit can be intimidating, even for taxpayers who’ve done nothing wrong. Receiving that notice — official and unmistakable — is enough to make anyone uneasy. But an audit doesn’t mean you’re in trouble. It simply means the IRS wants to verify information on your return.

At Tax Relief Heroes, Larry Kiyohiro, Esq., provides experienced legal representation for individuals and businesses facing IRS audits in Hawaii and across the mainland. With decades of financial and legal experience, he helps clients understand the process, prepare documentation, and protect their rights every step of the way.

Why the IRS Audits Taxpayers

The IRS selects returns for audit based on certain patterns and triggers, including:

  • Inconsistencies between reported income and employer/contractor filings

  • Large deductions relative to income

  • Business losses or self-employment claims that appear excessive

  • Random selection through computer screening

In short, audits are often the result of data analysis — not accusations of wrongdoing. Many are resolved with minimal adjustment once accurate documentation is provided.

Types of IRS Audits

Understanding which type of audit you’re facing helps you prepare effectively:

  1. Correspondence Audit
    Handled entirely by mail. The IRS requests supporting documentation for specific items, like deductions or credits.
  2. Office Audit
    Conducted at a local IRS office. You’re asked to bring documents for review and answer questions in person.
  3. Field Audit
    The most detailed form, performed at your home, business, or accountant’s office. These often involve multiple years or more complex tax issues.

Each type carries different risks and requirements. Having an attorney ensures you know what to expect and how to respond appropriately.

Your Rights During an IRS Audit

Every taxpayer has rights — and understanding them is critical. You have the right to:

  • Be treated with professionalism and fairness

  • Be represented by an attorney or authorized professional

  • Request clarification on what the IRS is reviewing

  • Appeal or challenge proposed changes

Larry ensures those rights are respected throughout the process. His legal background allows him to engage directly with IRS agents, handle all correspondence, and prevent unnecessary disclosures that could expand the audit.

Preparing for Your Audit

Effective preparation makes all the difference. Here’s what Larry recommends:

  • Gather relevant records. Collect W-2s, 1099s, bank statements, receipts, and any documents supporting the items under review.

  • Stay organized. Presenting information clearly shows credibility and reduces questions.

  • Respond on time. Missing IRS deadlines can lead to assumptions or penalties.

  • Avoid volunteering extra information. Provide only what’s requested — and let your representative handle communication.

An experienced tax attorney can identify which documents the IRS truly needs and frame your responses in a way that keeps the audit focused and fair.

After the Audit: Possible Outcomes

Once your audit concludes, the IRS will issue one of three outcomes:

  • No Change: The IRS accepts your return as filed.

  • Agreed Change: You owe additional tax and agree to the adjustment.

  • Disagreed Change: You dispute the findings and may appeal.

If additional taxes or penalties are assessed, Larry can negotiate next steps — from installment agreements to appeals or settlement options like an Offer in Compromise.

Why Legal Representation Matters

An audit isn’t just a numbers issue — it’s a legal matter involving your financial rights. A tax attorney like Larry Kiyohiro, Esq. understands both the procedural rules and the human side of IRS examinations.

He protects clients from overreach, ensures compliance, and provides steady, knowledgeable advocacy. Whether your audit involves one tax year or several, having an attorney by your side changes the entire dynamic — giving you control, confidence, and clarity.

Contact Tax Relief Heroes

If you’ve received an IRS audit notice, don’t face it alone.

📞 Contact Tax Relief Heroes today to speak directly with Larry Kiyohiro, Esq., an experienced tax attorney who represents clients in Hawaii and across the U.S. in IRS audits and examinations.

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