Skip to main content

Menu

Need Immediate Help?

Book a free strategy session with our experts.

Get Free Estimate
Main content
Audit Defense

Trucker cuts an audit bill by 86%

$3,100vs. $22k proposed
Audit Defense case study — Trucker cuts an audit bill by 86%

This is a real example of our work in irs audit defense. Below is the client's situation, exactly how our IRS Enrolled Agent approached it, the outcome, and what it means for anyone facing something similar.

Focus area
Audit Defense
Result
$3,100
What that means
vs. $22k proposed

The client & the challenge

An owner-operator received a $22,000 proposed assessment over per-diem and fuel deductions.

Situations like this rarely improve on their own. The right move is to get a licensed representative involved early, before penalties, interest, or enforcement escalate.

Our approach

We substantiated the DOT per-diem method and mileage and negotiated the disputed items.

How we defend an audit:

  1. 1Decode the notice. We identify exactly which items and years are under examination so we respond precisely — never volunteering unrelated information.
  2. 2Assemble substantiation. We gather receipts, logs, bank records, and a clear written explanation that ties every disputed number to documentation.
  3. 3Represent you directly. The examiner deals with us, not you. We control the narrative, the pace, and what is provided.
  4. 4Negotiate the findings. Where items are disputed, we argue the law and the facts, and pursue a no-change result or the smallest possible adjustment.
  5. 5Close and protect. We confirm the closing letter, address any penalties, and put safeguards in place so the same issue does not recur.

The outcome

The final bill was $3,100 instead of $22,000 — an 86% reduction.

$3,100vs. $22k proposed

Understanding IRS Audit Defense

An IRS audit (examination) is a review of your return to verify income, deductions, and credits. Audits arrive as correspondence (by mail), office, or field examinations, and they can also come from state agencies over sales tax, worker classification, or residency.

You have the right to professional representation. Our Enrolled Agent handles the examination under Form 2848 — organizing substantiation, answering the examiner's questions, and protecting you from scope creep so the audit stays limited to what was actually flagged.

Audit facts worth knowing:

  • Most audits are correspondence audits over a single deduction — with the right records they often close no-change.
  • You are not required to talk to the IRS yourself; representation is your right.
  • Good contemporaneous records (mileage logs, receipts, bank statements) win audits.
  • The IRS generally has three years to audit a return — longer if substantial income was omitted.

Frequently asked questions

Does an audit mean I did something wrong?

No. Returns are selected by scoring formulas and random sampling. Many audits close with no change once the deductions are substantiated.

Do I have to meet the IRS in person?

Rarely. With representation, we handle the correspondence and any meetings on your behalf.

What if I don't have every receipt?

We reconstruct records from bank and card statements, logs, and industry-standard methods the IRS accepts.

Can you help with a state audit too?

Yes — we handle state examinations for sales tax, residency, and worker classification as well.

Key takeaways

  • Outcome: $3,100 — vs. $22k proposed.
  • Handled by a federally licensed IRS Enrolled Agent, start to finish.
  • Available remotely to individuals and businesses in all 50 states.
  • The sooner you act, the more options you have — waiting adds penalties and interest.

This case study is a representative example based on a real client engagement. Names and identifying details are omitted for privacy. Individual outcomes depend on your specific facts and IRS determinations; results are not guaranteed. See our disclaimer.

Facing something similar?

Get a free, no-pressure consultation with an Enrolled Agent who can tell you exactly where you stand.

Get Started

Ready to Keep More of
Your Money?

Stop stressing about the IRS and start building wealth. Fill out the form to connect directly with a Libre Tax Strategist.

Direct Line

Daily 7am-10:30pm

(562) 925-7100

Email Support

For document submission & inquiries

[email protected]

Request a Consultation

Step 1 of 6