The IRS Is Showing Up — Are You Ready?

The Victory Tax Brief | Issue #21

An IRS field audit is the most comprehensive type of IRS examination, and one of the most intimidating. Unlike audits handled by mail, a field audit involves an IRS revenue agent reviewing your financial records in person, asking detailed questions, and evaluating your overall tax compliance.

At Victory Tax Lawyers, we help clients navigate complex tax issues, from audits and back taxes to liens and fraud investigations.

If you’re unsure whether you need expert help, call (800) 883‑8301 for a free consultation.

✅ What an IRS Field Audit Really Means

A field audit is typically reserved for more complex tax situations, including businesses, high-income taxpayers, or returns involving multiple years.

Here’s what makes it different:

  • The IRS reviews records in person

  • Agents can ask follow-up questions immediately

  • Multiple tax years may be examined

  • Interviews with employees or related parties may occur

This level of access allows the IRS to identify inconsistencies that may not surface in correspondence audits.

⚠️ Why Field Audits Often Lead to Higher Adjustments

Field audits result in changes more frequently than other audit types — largely because of their depth.

Common triggers include:

  • Significant discrepancies in reported income

  • Large or unusual deductions

  • Consecutive business losses

  • Documentation gaps

  • Mismatches between bank activity and reported earnings

Even small errors can lead to expanded examination when records are reviewed in person.

If your return falls into any of these categories, it’s wise to seek guidance early. Call (800) 883-8301 before the audit begins.

🛠 What the IRS Field Audit Process Looks Like

Most field audits follow a structured path:

1. Audit Notification – You receive an official letter outlining the tax years under review and the requested records.

2. Preparation – Financial documents are gathered, organized, and reviewed. Early preparation can significantly influence the outcome.

3. On-Site Examination – The IRS agent visits your home, business, or accountant’s office to review records and ask questions.

4. Audit Findings – The IRS issues a report proposing changes, additional tax, or sometimes no adjustments.

5. Response & Appeals – If you disagree, you have the right to provide documentation, appeal internally, or pursue the matter in Tax Court.

Knowing these steps helps you stay in control rather than reacting under pressure.

If you want to know the common mistakes that expand an audit, read the full blog post here.

⚡ Preparation Can Change the Outcome

Not every field audit results in additional tax. When records are clear and well-supported, audits can close with minimal or no adjustments.

In many cases, early preparation is the difference between a manageable review and a prolonged investigation.

Victory Tax Lawyers specializes in audit defense and IRS controversy matters. With over $72 million saved for clients since 2017, we help taxpayers navigate field audits with confidence and control.

📞 Call (800) 883-8301 or request your free consultation today — before the audit gains momentum.