Tax Audit Selection Risk Calculator
Estimate relative audit risk based on return characteristics.
Risk Flags
Audit Risk Assessment
Base Rate:0.80%
Risk Multiplier:1.50x
Adjusted Rate:1.20%
Risk Category:MODERATE
Risk Factors Applied
| Factor | Multiplier | Reason |
|---|---|---|
| Mixed Income Sources | 1.5x | Complex return structure |
Audit Preparation Checklist
- Organize all income documentation
- Verify deduction calculations
- Keep receipts for 7 years
- Document business expenses
- Separate business/personal expenses
- Maintain mileage logs
- Save bank statements
- Review prior year returns
- Consider professional review
- File on time to avoid flags
Recommendation
Moderate audit risk (1.2%). Some factors flagged. Keep detailed documentation. Consider professional review. Document all deductions thoroughly.
Audit Risk Key Points
- DIF score determines selection
- Higher income = higher audit rate
- Self-employment flagged
- Cash businesses targeted
- Large deductions scrutinized
- Home office deduction flagged
- Foreign accounts reviewed
- Keep records 7 years
- Document all deductions
- Respond promptly to notices