Small business owners face many challenges, and taxes are probably at the top of the list.
If you’ve been self-employed, then you know all too well the devastation that can come with an IRS audit.
While big companies often build audit costs into their budgets, small businesses are especially vulnerable to being blindsided by an audit. As a small company, you don’t have the big legal staff to ward off the IRS, and you can lose out on significant productivity while the audit is taking place.
Being audited can be an expensive and frustrating experience. Your best approach is to avoid encounters with the IRS altogether.
Even if the audit is harmless and the small business is doing the right things, going through the audit investigation represents an unnecessary cost.
Here are 5 ways to prevent an audit, if you’re a small business owner:
Read more: 5 Small Business Tax Tips: How To Avoid An IRS Audit