Issue link: https://read.dmtmag.com/i/123324
EQUINOX BUSINESS SOLUTIONS By: Scott Christensen, Vice President of Tax Services at EQUINOX Owner-Operator Solutions The Leader in Business Services for Transportation HowIRS Audit Of Your to Deal With An Trucking Business H ave you ever met a fellow trucker who wants to be audited by the IRS? Probably not. If you do, you may want to slowly back away and avoid eye contact with this person. All joking aside, an IRS audit is serious business and an ounce of prevention is definitely worth a pound of cure in regard to your taxes. An IRS audit is something nobody wants to go through. Yet, according to Kiplinger, about 1 of every 100 tax filers is audited every year. As such, you always run the risk that this could happen to you. Many drivers choose to use a professional when filing their taxes, just to decrease their risk of an audit. If your trucking business is audited, it is important to deal with it properly. Let's take a look at how to deal with an IRS audit of your trucking business. You need to be prepared to deal with an IRS audit and not caught by surprise like this gentleman. Expenses Keep Accurate Records Keeping accurate tax records is essential every year. It will be even more important if you are audited, as your records will help verify the accuracy of your tax return. The following are some records you should keep track of at all times. Keep all account statements, cancelled checks, invoices and any other documentation relevant to your expenses. Gross Receipts Keep form 1099-MISC, invoices and anything else that documents your revenue. / OWNER OPERATOR/ MAY 2013 / / 30 OO 0513 edit.indd 30 4/5/13 2:12 PM