Dayes Law Firm
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An IRS field audit is the most serious and intrusive type of tax audit you might experience in Phoenix and often indicates that the IRS suspects complex issues, significant errors, or even tax fraud. It is not a simple review, but a detailed investigation with much higher stakes than other types of IRS audits.
The audit can be far-reaching, and an inexperienced response could cause the auditor to expand the scope to other areas of your return or even additional tax years. Our legal team at Dayes Law Firm can communicate and negotiate with the IRS on your behalf to prevent you from making inadvertent admissions and remove you from direct contact with the IRS agent.
An IRS field audit in Phoenix is the most comprehensive type of tax audit, where an IRS revenue agent conducts an in-person examination of a taxpayer’s financial records. Unlike a correspondence audit, which is handled by mail, a field audit is typically reserved for complex returns, large businesses, or high-income individuals. An IRS agent will visit the taxpayer’s home, place of business, or representative’s office to review financial records in person.
The agent will review financial records such as receipts, invoices, bank statements, general ledgers, and other business documents. The audit can involve a thorough examination of both personal and business financial records, often covering multiple tax years. Due to their complexity, field audits can take significantly longer to resolve than correspondence or office audits, and potentially last for several months.
The agent is not limited to the specific issues mentioned in the initial notice and may expand the scope if they find suspicious items. The agent may interview the taxpayer and potentially employees about business operations, accounting practices, and internal controls. Because field audits are so comprehensive and intrusive, it is highly recommended to have representation from an experienced tax controversy lawyer from the earliest stages of these proceedings.
An attorney can provide critical protection and strategic guidance during a field audit, and ensure the audit remains narrowly focused and limited as possible. Contact our legal team at Dayes Law Firm to advocate on your behalf to protect your rights at every turn.
If the audit uncovers errors, you will likely face a higher tax bill, along with accruing interest and penalties. The IRS may assess a 20% penalty on underpayments related to negligence or substantial understatement of tax. For intentional wrongdoing, the IRS can impose a fraud penalty of 75% on the underpayment.
If the IRS finds you improperly claimed certain tax credits, you could also be barred from claiming them for a number of years. An audit that finds significant errors may mark you for future audits. The IRS can also expand the field audit for a Phoenix taxpayer to include returns going back six years or more in cases of fraud.
If you fail to pay, the IRS can initiate collection actions, such as wage garnishment or placing a federal tax lien on your property. A lawyer can serve as your authorized representative and communicate directly with the IRS agent so you do not accidentally say anything that could be used against you. We can help you gather, organize, and present financial documentation in a clear, persuasive manner that best supports your tax filings.
Our team can defend your position against the IRS’s claims and negotiate a favorable settlement to mitigate or eliminate additional taxes and penalties. We can also guide you through the IRS Independent Office of Appeals process, or, if necessary, take your case to the U.S. Tax Court.
Our Phoenix attorneys can strategically present only the required information during the IRS field audit and aim to keep the audit as narrow as possible. If the audit results in an unfavorable outcome, we can negotiate on your behalf to reduce penalties or guide you through the appeals process if you disagree with the auditor’s findings.
We will ensure that the IRS respects your taxpayer rights throughout the entire audit process. Contact Dayes Law Firm today to request your free and confidential case consultation.
Dayes Law Firm
N/a © Dayes Law Firm. 2026 | All rights reserved.