IRS Audits and How to Avoid Them: Biggest Red Flags

This video covers the top 12 most common red flags that could trigger an income tax audit by the Internal Revenue Service (IRS). At CSI Accounting and Payroll, we're experts at providing valuable insights into the IRS auditing process, and we want to help you avoid or reduce the likelihood of an audit. We go over a range of topics, including how to properly report income and deductions, how to avoid errors on your tax returns, and how to manage your finances in a way that is less likely to attract the attention of the IRS. Some of the specific red flags discussed in the video include claiming excessive deductions, failing to report all income, having inconsistent or unusual income patterns, and claiming losses for a hobby rather than a legitimate business. Intro: 0:00 Making Too Much Money: 0:27 Forgetting to Claim Income Shown on Forms W-2 & 1099: 1:04 Making Charitable Donations Considered Large for Your Income: 1:39 Claiming the Home Office Deduction: 2:22 Losses on the Rental of Real Estate: 3:08 Meals, Travel Expenses & Vehicle Expenses: 3:45 Business Use of Vehicles: 4:25 Losing Money for Too Many Years in a Row: 5:03 Businesses Dealing With a Lot of Cash: 5:22 Foreign Bank Accounts: 5:58 Cash Transactions Over $10,000: 6:15 Claiming Deductions That are High Compared to Your Personal or Business Income: 6:48 Outro: 7:05 Download our FREE Accounting Kit! https://www.csiaccounting.com/small-b... We also have a FREE Payroll Kit! https://www.csiaccounting.com/small-b... Schedule a consultation with us! https://www.csiaccounting.com/schedul... Check out our website for more videos and articles! https://www.csiaccounting.com/learnin...