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What are my chances of being audited?
By Jason Watson (Google+)
The IRS has recently released their enforcement and service results for fiscal year 2011 in their review of 2010 tax returns. They remain consistent in some areas yet have increased their visibility in other areas. Here we go-
| Income | Examinations | Returns Filed | Audit % | Field % | Mail % |
|---|---|---|---|---|---|
| Under $200,000 | 1,389,836 | 136,387,547 | 1.02% | 23% | 77% |
| Above $200,000 | 174,854 | 4,449,952 | 3.93% | 45% | 55% |
| Above $1M | 36,422 | 291,831 | 12.48% | 56% | 44% |
| S Corps | 18,519 | 4,444,154 | 0.42% | ||
| Partnerships | 13,770 | 3,434,905 | 0.40% | ||
| Small C Corps | 19,697 | 1,931,008 | 1.02% | ||
| Large C Corps | 10,459 | 59,291 | 17.64% | ||
| Tax Exempt Orgs | 11,699 | 858,865 | 1.36% |
Notes: For income under $200,000 audit percentages remain consistent since 2006. For those $200,000 to $1 million tax returns, audits have increased from 2.57% to 3.93%. And for those $1 million and higher tax returns, audits have increased from 5.25% in 2006 to 12.48% 2011.