A client was referred to us by another CPA firm because the IRS had initiated an audit on their client, resulting in taxes, penalties, and interest proposed in the amount of $153,121. The referring CPA knew of our IRS audit experience and felt that we could better represent their client.
The client is a painting and small repairs contractor who services 420 apartment complexes owned by his client. The apartment properties are across North Carolina, and our client is required to travel statewide to paint and maintain these properties.
In this case, the audit included the following expenses: car and truck expenses, meals, travel, telephone, and supplies, along with various penalties and interests, including the fraud penalty. In this case, the audit issues included the following expenses: car and truck expenses, meals, travel, telephone, and supplies, along with various penalties and interests, including the fraud penalty.
Our client’s business expense allowance increased by $213,457 over the amount allowed by the auditor due to our representation. Therefore, our client’s savings in taxes, penalties, and interest were $59,292.
The client was very happy with these results!
