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Essex & Associates::www.essexinc.biz                 July 6, 2010
Greetings!  
 PC 74
Tax Savers, 
  

Getting audited is such a hassle! Just ask the IRS.

 

A new report from the Government Accountability Office inspected the tax agency's financial statements from the 2009 fiscal year with the exacting thoroughness of, well, of an IRS auditor, and found a few billion-dollar errors.

 

According to the report, the IRS made a variety of accounting errors last year that "could adversely affect the reliability of its financial statements" and result in "duplicate or erroneous refunds." Among the mistakes were a "failure to record the receipt of a taxpayer's $3 million payment" and an $8 billion discrepancy between two accounting systems tracking how much money taxpayers owe. The audit also found a $5.1 billion "unexplained variance" between the total amount the agency took in last year and the amount its detailed tax files said it took in.

 

But what's a few billion here or there, right?

 

Obviously, the IRS makes many mistakes. This just confirms, because you receive correspondence from the IRS does not mean they are right.

 

It's good to know that the IRS had to go through the audit, if only so it can empathize with the American taxpayer.

 

Wishing you many happy returns,
 Wayne
  
 
Wayne T. Essex Ph.D.
Essex & Associates, Inc.
Tax, Accounting, HR, Payroll
7501 Paragon Road
><> 937.432.1040 <><
 
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