Getting an IRS Aduit (Anyone else ever been??) - tanTALK

Beachbum110 · 10-25-2009, 11:53 AM

We (wife & I) are sole proprietors who own a tanning salon while I work a regular full-time job. Like everyone else we struggle to get by year-after-year. Unlike the notion that tanning salon owners are wealthy, we work tons of hours a year (for free).

So now as a reward for our hard efforts... we are getting audited from 2007. Because of our situation, we combine our personal and business financials under the same tax returns.

We have a bookkeeper and a tax person who does all our financials, so we are a legit business, who also pays our employees "over the table".

I was wondering if there are any other salon owners that have been autited by the IRS... what should we expect???

Are they now going to audit us every year... we have nothing to hide, except losses and personal loans we made to the business to keep it a float.

Oh, the joys of being a small business owner in America and living the American Dream. Owning a business = Long hours and little pay + more hassles from the man.

navigatin1 · 10-25-2009, 01:16 PM

As long as you have all your paperwork & receipts saved and in order, let them audit you. It's just a pain in da azz, but if you're on the up & up, you have nothing to worry about.

DB Hottie · 10-25-2009, 01:38 PM

I was audited by the state not the IRS for my payroll records.

When I asked my accountant about it, she said as long as you don't have anything to hide there is nothing to worry about.

They showed up at my house to go over records. I had everything they would have needed and more in case I needed it. Everything checked out painlessly and it was a very east process.

CrystalSS · 10-25-2009, 05:14 PM

Typically if there is a red flag it triggers an audit. It could be something that is legit but just triggered an audit. That is what they told me when it happened.

Funny...Like you we are upstanding...So my question is how the heck the crooks get away with it...AND..our lovely government officials?

Where are the huge red, yellow and checkered flags on those people?

NJtanner · 10-25-2009, 05:17 PM

My accountant has told me, generally speaking, if you come through an audit "clean", you are off the list, and don't have to worry about future audits. If, on the other hand, they find major stuff in 2007, they will go back and look at 2006, 2005 and 2004, and can even go back 3 more years if they like. It also makes it much more likely that you'll be audited in the future.

People who pay people off the books are screwed if they get audited.

The good news is that if they don't find anything major, this is probably the only time in your life you will ever be audited.

eileen · 10-25-2009, 06:55 PM

I was audited 32 years ago, I had an 18 cent error. I haven't been audited since. lol

navigatin1 · 10-26-2009, 10:36 AM

18 cents? TAX EVADER!!! Toss her in the clink boys!

engfant · 10-26-2009, 11:09 AM

If they give you a hard time tell them to show you the laws in the constitution that says you need to pay taxes.

navigatin1 · 10-26-2009, 12:23 PM

Business & personal taxes are not the same.
There is NO law in the constitution that states you have to pay PERSONAL taxes.

That won't work for business taxes.

engfant · 10-26-2009, 12:34 PM

Claim you aren't a business. Just a hobby and it's personal god ******!

10-25-2009, 11:53 AM	#1 (permalink)
Beachbum110 Join Date: Dec 29 2004 Location: MA Posts: 177 Rep Power: 6	Getting an IRS Aduit (Anyone else ever been??) We (wife & I) are sole proprietors who own a tanning salon while I work a regular full-time job. Like everyone else we struggle to get by year-after-year. Unlike the notion that tanning salon owners are wealthy, we work tons of hours a year (for free). So now as a reward for our hard efforts... we are getting audited from 2007. Because of our situation, we combine our personal and business financials under the same tax returns. We have a bookkeeper and a tax person who does all our financials, so we are a legit business, who also pays our employees "over the table". I was wondering if there are any other salon owners that have been autited by the IRS... what should we expect??? Are they now going to audit us every year... we have nothing to hide, except losses and personal loans we made to the business to keep it a float. Oh, the joys of being a small business owner in America and living the American Dream. Owning a business = Long hours and little pay + more hassles from the man.

10-25-2009, 01:16 PM	#2 (permalink)
navigatin1 Derf's My *****! Join Date: Aug 17 2004 Posts: 2,643 Rep Power: 7	Re: Getting an IRS Aduit (Anyone else ever been??) As long as you have all your paperwork & receipts saved and in order, let them audit you. It's just a pain in da azz, but if you're on the up & up, you have nothing to worry about.

10-25-2009, 01:38 PM	#3 (permalink)
DB Hottie Police Department Join Date: Jul 8 2008 Location: Midwest Posts: 958 Rep Power: 2	Re: Getting an IRS Aduit (Anyone else ever been??) I was audited by the state not the IRS for my payroll records. When I asked my accountant about it, she said as long as you don't have anything to hide there is nothing to worry about. They showed up at my house to go over records. I had everything they would have needed and more in case I needed it. Everything checked out painlessly and it was a very east process. __________________ Find your zipper

10-25-2009, 05:14 PM	#4 (permalink)
CrystalSS Police Department Join Date: Apr 23 2008 Location: Colorado Posts: 705 Blog Entries: 2 Rep Power: 2	Re: Getting an IRS Aduit (Anyone else ever been??) Typically if there is a red flag it triggers an audit. It could be something that is legit but just triggered an audit. That is what they told me when it happened. Funny...Like you we are upstanding...So my question is how the heck the crooks get away with it...AND..our lovely government officials? Where are the huge red, yellow and checkered flags on those people?

10-25-2009, 05:17 PM	#5 (permalink)
NJtanner Join Date: Oct 2 2006 Location: South Jersey Posts: 155 Rep Power: 4	Re: Getting an IRS Aduit (Anyone else ever been??) My accountant has told me, generally speaking, if you come through an audit "clean", you are off the list, and don't have to worry about future audits. If, on the other hand, they find major stuff in 2007, they will go back and look at 2006, 2005 and 2004, and can even go back 3 more years if they like. It also makes it much more likely that you'll be audited in the future. People who pay people off the books are screwed if they get audited. The good news is that if they don't find anything major, this is probably the only time in your life you will ever be audited.

10-25-2009, 06:55 PM	#6 (permalink)
eileen kiss me I'm Derf Join Date: Feb 10 2005 Posts: 7,978 Rep Power: 21	Re: Getting an IRS Aduit (Anyone else ever been??) I was audited 32 years ago, I had an 18 cent error. I haven't been audited since. lol __________________ "under exposure to UV rays is as dangerous as overexposure....this is D life" eileen

10-26-2009, 10:36 AM	#7 (permalink)
navigatin1 Derf's My *****! Join Date: Aug 17 2004 Posts: 2,643 Rep Power: 7	Re: Getting an IRS Aduit (Anyone else ever been??) 18 cents? TAX EVADER!!! Toss her in the clink boys!

10-26-2009, 11:09 AM	#8 (permalink)
engfant FREE ENGFANTUCATION Join Date: May 20 2003 Posts: 9,024 Rep Power: 14	Re: Getting an IRS Aduit (Anyone else ever been??) If they give you a hard time tell them to show you the laws in the constitution that says you need to pay taxes. __________________ My nose is big. I'm not ashamed. Big like a pickle and I'm still get'n paid.

10-26-2009, 12:23 PM	#9 (permalink)
navigatin1 Derf's My *****! Join Date: Aug 17 2004 Posts: 2,643 Rep Power: 7	Re: Getting an IRS Aduit (Anyone else ever been??) Business & personal taxes are not the same. There is NO law in the constitution that states you have to pay PERSONAL taxes. That won't work for business taxes.

10-26-2009, 12:34 PM	#10 (permalink)
engfant FREE ENGFANTUCATION Join Date: May 20 2003 Posts: 9,024 Rep Power: 14	Re: Getting an IRS Aduit (Anyone else ever been??) Claim you aren't a business. Just a hobby and it's personal god ******! __________________ My nose is big. I'm not ashamed. Big like a pickle and I'm still get'n paid.

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