Recently Forbes ran a great article titled, “How To Avoid — Or Win — An IRS Audit or Court Battle” after the IRS posted its annual report to Congress by the National Taxpayers Advocate.

The top litigation areas highlights where the IRS is focusing most of its enforcement effort, especially directed at  individuals and small business owners. Those areas are:

  • Trade or business expenses
  • Gross income – What counts as income
  • Accuracy Related Penalties – Section 6662
  • Liens and Summons
  • Joint and Several Liability – Innocent Spouse
  • Charitable Deductions
  • Frivolous issues; failure to file; and, failure to pay


Each of the above issue areas are described at length in the Forbes article if you need further explanation, or as always, you can connect with one of our tax advisers.