An audit of 6,000 businesses that was scheduled for November has been pushed back, giving you a little more time to make sure your company’s records are in order.
As previously reported, the Internal Revenue Service was gearing up for the audits to uncover unpaid business and payroll taxes. IRS is still planning the nationwide audit, but is pushing it back to February.
Here’s what auditors will be looking at:
- Three federal taxes collected, paid and/or remitted by employers — employee income taxes deducted by the employer, FICA and FUTA.
- Employment taxes related to four areas — worker classification, fringe benefits, reimbursed expenses and compensation of owner employees.
The audits have been triggered by an IRS study that shows a “tax gap” in the billions of dollars for unpaid business and payroll taxes.