How to Prevent an IRS Audit of Your Business

What else should business owners know about the audit process?

Aldrich: The people I've talked to who are small business owners and who are the most concerned are usually the ones that are not in a position to be audited. They use tax software. They do try to keep their business and personal expenses separate. So when you do that and you get a notice, while it is a fear and something to be concerned about, most folks have done a good job staying in compliance. There are things you can do to stay very much ready in case you get that letter or phone call.

-- Written by Laurie Kulikowski in New York.

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