How to Avoid an IRS Audit (how to fly under the radar)

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  • Опубликовано: 30 июл 2024
  • In this video, we discuss what are the chances of being audited by the IRS for taxes and what audit triggers and audit flags increase your risk of being selected for audit. We get asked the question of what are the chances of getting audited and we respond with statistics. Statistics show that you have a higher chance or probability of an IRS audit if you are a higher income earner. We give the facts and statistics by the income ranges and the historical probabilities of receiving an IRS letter. You will see that the chances of getting audited are low, however, there are audit flags and audit triggers that can substantially elevate your audit risk. Beware of these audit triggers that will increase your risk of audit. We hope you enjoy this video about your odds of being audited by the IRS and knowing your tax audit risk.

Комментарии • 2,4 тыс.

  • @clearvaluetax9382
    @clearvaluetax9382  3 года назад +38

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  • @larrykramer2761
    @larrykramer2761 4 года назад +6807

    I hate people that cheat on their taxes! It ruins it for the rest of us like me and my 23 dependents.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +412

      L O L thanks for that Larry.

    • @rudysalas9138
      @rudysalas9138 4 года назад +71

      2 to 3 dependents right?

    • @darylallen2485
      @darylallen2485 4 года назад +136

      @@rudysalas9138 r/woosh!

    • @rudysalas9138
      @rudysalas9138 4 года назад +105

      @@darylallen2485 cant show sarcasm thru a comment sorry. r/woosh!

    • @rudysalas9138
      @rudysalas9138 4 года назад +77

      @Billy Ray Valentine we get taxed on the money we earned. Then we get taxed on the money that we spend on necessities. Double taxation at best. I dont really consider it theft as we do use the money to pay people to maintain our parks, public resources such as police and firefighters, National security etc. I learned this when i have visited third world countries. I get upset when people abuse for example the welfare system.

  • @ropersix
    @ropersix 4 года назад +3086

    When the IRS audits someone, they expect to get more money from that person. If you don't have much money to give them, they don't care about you. Sort of how dating works.

  • @alexanderconti521
    @alexanderconti521 3 года назад +1287

    Fun fact: if this video is in your watch history your chances of being audited rises by 5 percent.

    • @lullemans72
      @lullemans72 3 года назад +52

      but i'm not even a US citizen. i'm from europe!

    • @mrceresa1
      @mrceresa1 3 года назад +6

      😂

    • @AntGilroy
      @AntGilroy 3 года назад +77

      @@lullemans72 it doesn’t matter, you just made the list. Good luck.

    • @viralshark
      @viralshark 3 года назад +39

      but i clicked by mistake, then my fingers slipped and typed this comment

    • @wompwomp7177
      @wompwomp7177 3 года назад +2

      Lmaoo

  • @owenjaeckle8542
    @owenjaeckle8542 4 года назад +423

    Remove the space in “The IRS” and it becomes “Theirs”. Hmmm

  • @carolebaskin9641
    @carolebaskin9641 4 года назад +1871

    I like how the government steals your money and also makes you handle all the paperwork.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +107

      L O L... that's a good way to put it. Thanks for chiming in fadfad fadfadf, I appreciate it!

    • @jcman240
      @jcman240 4 года назад +30

      Then find somewhere else to live. Think of taxes as rent to live in the greatest country in the world.

    • @matthewcoffey2672
      @matthewcoffey2672 4 года назад +53

      @@jcman240 A lot of people who have the money do. They have even had to make laws in places like thailand and bali that restrict how many americans can be property owners because they were being bought out with none left for locals that means A LOT of poeple are doing exactly that and leaving for a b etter place so how is the US the greatest?

    • @rv3089
      @rv3089 4 года назад +3

      fadfad fadfadf
      I actually don’t like that at all 🤔

    • @carolebaskin9641
      @carolebaskin9641 4 года назад +95

      @@jcman240 Good thing the founding fathers didn't share your pathetic defeatist attitude and decide to "find somewhere else to live" when they were being taxed unfairly.

  • @RG-hf4et
    @RG-hf4et 3 года назад +69

    Lucky me, I got audited about 15 years ago. My income was about around $95-110k, self employed small office, one employee besides myself. Income generated by the business was about $225-250k. I am in a business with known for very high overhead. This IRS agent hounded me for a YEAR. The only thing they got me on was some credit card purchases that I didn't have receipts for or couldn't prove so they included that as personal income. Once they started looking at one return, they went to the previous one to compare things so they really audited 2 years. My life was hell. The government paid this agent to keep coming after me for an entire year. I can't make this crap up. Six months after this IRS agent dragged me through the mud, he died of an stroke. Karma.

  • @matthewgarber5517
    @matthewgarber5517 4 года назад +137

    I know someone who makes a lot and was audited 3 times. Each time the IRS found that they owed them money and had to give money back

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +21

      Nice! That's awesome and hilarious when that happens.

    • @michaelsmith4904
      @michaelsmith4904 3 года назад +1

      That's why I like to leave a little bit on the table every year...

    • @katrinamillings3651
      @katrinamillings3651 3 года назад +1

      That happened to me, lol. I didn't claim all my losses on some stock trades so I overpaid.

    • @jakes-dev1337
      @jakes-dev1337 3 года назад

      @@michaelsmith4904 risky play

  • @jeremiahfuertes5960
    @jeremiahfuertes5960 3 года назад +123

    Chances are probably higher now that I've watched this.

    • @kjsciacca
      @kjsciacca 3 года назад +8

      And even higher because you commented lol

    • @eliubfj
      @eliubfj 3 года назад

      @@kjsciacca I was skeptical to comment, But oh well, We've all increased the odds lol

    • @Jacob_Overby
      @Jacob_Overby 3 года назад

      yeeeeaaaaaah probably.. oh well

    • @Webbygears
      @Webbygears 3 года назад +1

      From .5% to a whopping .6%

  • @theengineered1949
    @theengineered1949 4 года назад +1875

    I trust the intelligence and the knowledge of this professional looking Asian man...

  • @joeventura1
    @joeventura1 4 года назад +99

    Why this is a great video: Informative, well spoken and no edits! RUclipsrs, it's ok to have a conversation with the camera and if you say something wrong you don't have to edit it out. This video is an example of how to do a good video that isn't filled with edits every time the speaker pauses or maybe makes a mistake. GREAT WORK!!!

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +5

      Thank you Video News, I appreciate your feedback! Thanks for watching and for your support!

  • @ItsMeeJon
    @ItsMeeJon 3 года назад +29

    If you make millions as a politician then your chance of being audited is 0.0%

  • @bondpit8750
    @bondpit8750 4 года назад +130

    I was selected for a ‘random’ audit back in the early 80’s. I was in sales and my income was mid-high 20’s at the time. I itemized my return. A small math error was found in favor of the IRS, less than $20.00, which they waived. The examiner asked if I had the same kind of detailed records for the 2 tax years prior and set me up for another audit of those years, which was performed by the same examiner. The end result was no change to my tax obligation but what a waste of time, for them and for me.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +31

      Bondpit, sorry to hear of that fiasco. Yup, they're really talented at wasting peoples' time and taxpayers' money. Kind of frustrating, but what can we do?

    • @TheMasterhomaster
      @TheMasterhomaster 3 года назад

      Yes but for every one of you there are cases where they find tax cheats.

    • @chrismoore1372
      @chrismoore1372 2 года назад +1

      @@clearvaluetax9382 revolt?

  • @mhc_isme
    @mhc_isme 4 года назад +520

    With my income I basically have a 0% chance of being audited.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +85

      The IRS likes wasting peoples' time Max...

    • @saito4991
      @saito4991 4 года назад +9

      Yea, it's like a situation happened in Germany a few years ago where a homeless person was arrested for working without a "Gewerbe Anmeldung" , it's like a business registration.

    • @milkncookie
      @milkncookie 4 года назад +2

      That's one way to tell the world you're unemployed. :D!

    • @angelgjr1999
      @angelgjr1999 4 года назад +8

      I make less than 30k a year. No way I’d be audited.

    • @broken1965
      @broken1965 4 года назад +2

      Get a job yo lol

  • @TheRussellStover
    @TheRussellStover 4 года назад +279

    LOL... honestly. I'm not sure why I'm here. I hate the IRS and Taxes in general but I watched the video because it was recommended.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +41

      Thanks Eric for watching and for your support, I appreciate it! It was probably recommended because RUclips knows that you hate the IRS and Taxes in general.

    • @knowledgeispower3212
      @knowledgeispower3212 4 года назад +3

      @@clearvaluetax9382 lol stfu . You're right . But this was in my recommendation too

    • @TimeGallon
      @TimeGallon 4 года назад +1

      Nice cover up

    • @andrub23
      @andrub23 4 года назад

      Revocation of Election...It's a real thing...

    • @swiftyfromthe3138
      @swiftyfromthe3138 3 года назад

      @@andrub23 Good luck with that.

  • @kajuta240
    @kajuta240 3 года назад +183

    I was audited once, it took them 9 months and I ended up with a check for a bit over $350 more than I was originally going to get. I haven't been audited since.

    • @tidus9942
      @tidus9942 3 года назад +21

      That can easily happen if you one of those people who have a business but rather than keeping track of every complete expense just put conservative amounts on the schedule C knowing full well you could claim more but dont want to put the work in. Once audited, you take the time to find every single thing you could claim and it will cost them more than they would ever get back.

    • @mikki7522
      @mikki7522 3 года назад +17

      They probably spent tens of thousands of dollars for that LOL

    • @asonofliberty3662
      @asonofliberty3662 3 года назад +2

      @@mikki7522 we*

  • @marknussbaum8394
    @marknussbaum8394 4 года назад +219

    This guy ties a perfect knot in his tie. Work of art

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +52

      Hi Mark, double windsor... only way I do them.

    • @SHx589
      @SHx589 4 года назад +4

      ClearValue Tax as a military man, I appreciate your attention to detail.

    • @loveoneanotherasihaveloved8327
      @loveoneanotherasihaveloved8327 4 года назад +2

      I Asked him about it, he said it’s a clip on

    • @CruceEntertainment
      @CruceEntertainment 3 года назад

      That increases his audit risk.

    • @michaela.754
      @michaela.754 2 года назад

      Looks like a double windsor. Symmetrical

  • @christiangutti7614
    @christiangutti7614 3 года назад +12

    Never thought that learning about taxes would be fun and interesting! Thank you sir.

  • @davethefish7653
    @davethefish7653 4 года назад +351

    This looks like a set from Brazzers. I keep waiting.. and waiting..

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +63

      L O L Logan, you are hilarious. You're going to have to keep waiting.

    • @illRalph
      @illRalph 4 года назад +25

      ClearValue Tax how long

    • @obladi2375
      @obladi2375 4 года назад +1

      That's hilarious

    • @neilbradley
      @neilbradley 4 года назад +18

      It's the "audit me" casting couch series. "Oh baby, charge me penalties with compound interest!" "Hurt me with a W2C!" "Whip me with your 1099-MISC!" "Tell me I can't use the short form!" "Is that a schedule K1 in your pants or are you just happy to see me?" ;-)

    • @theblacklebowski9878
      @theblacklebowski9878 4 года назад +1

      💀💀💀💀💀💀💀💀💀💀

  • @sirnicholas6626
    @sirnicholas6626 4 года назад +2

    Just wanted to say you are very well spoken, clean and easy to follow and understand don’t blabber on about a topic diluting the information. Looking forward to watching some of your other videos.p

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +1

      Thank you Nicholas for the feedback and kind words. I really appreciate comments like yours and it makes me feel like I'm actually helping out! It's very motivating, so thank you! That was very kind of you.

  • @tkim6790
    @tkim6790 4 года назад +243

    This video is gonna get audited...

  • @MrKhurramshahzaeb
    @MrKhurramshahzaeb 4 года назад +12

    Very good video. Very comprehensive tax advice. The fact that this information is made available for free is phenomenal. He gives better advice than most accountants that you have to pay for.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +2

      Thank you Khurram for the feedback and kind words. It makes me feel like I'm actually helping people! I appreciate it!

  • @Chaotclink
    @Chaotclink 4 года назад +557

    lol once the IRS said I made 600k in 2012 and i owed 300k in back taxes. i was 17 in 2012 and it took me 3 years to clear it all up.. the IRS is a joke

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +50

      I'm glad you got that cleared up Chaotic Link, what a mess!

    • @busyboysonedollarcircus6601
      @busyboysonedollarcircus6601 3 года назад +65

      Good money for a 17 yr old congrats

    • @DK-gl3ih
      @DK-gl3ih 3 года назад +4

      How did u get that money?

    • @drexxler138
      @drexxler138 3 года назад +1

      Lol! I have seen this situation so many times.

    • @crispycroissants2157
      @crispycroissants2157 3 года назад +13

      @@busyboysonedollarcircus6601 He probably wasn't making 600k, that was the mistake

  • @cbrdurox
    @cbrdurox 3 года назад +5

    didn't even watched the video yet but subscribed right away. great tie knot very professional looking and I like that you replied to most comments

    • @clearvaluetax9382
      @clearvaluetax9382  3 года назад +1

      Thanks for the sub cbrdurox! I appreciate that support and yes, it's a double-windsor =)

  • @csugabo85
    @csugabo85 4 года назад +237

    Haven't done my taxes I'm too turnt up

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +46

      Best to get them done son

    • @VicDamoneJr82
      @VicDamoneJr82 4 года назад +18

      Shout out to drake

    • @Krumpy
      @Krumpy 4 года назад +22

      way over his head haha

    • @XploreAz
      @XploreAz 4 года назад +1

      @@Krumpy I doubt it is way over his head. He's just an intelligent man who speaks English, and not Ebonics.

    • @delarosae
      @delarosae 4 года назад +5

      Virgil got a Patek on my wrist going nuts

  • @protonneutron9046
    @protonneutron9046 3 года назад +204

    When I was young I got audited. They asked for all my receipts, etc. I gave them a box just stuffed full to the brim as I had literally just dumped what I had. A total mess with nothing in any order. Income, payments, receipts. A month later they gave it back to me all neat and categorized with a check for $500.00

    • @vn01208503
      @vn01208503 3 года назад +18

      gotta hat off for them on that

    • @protonneutron9046
      @protonneutron9046 3 года назад +3

      @@vn01208503 indeed! But the law doesn't require records be in any order or system.

    • @vn01208503
      @vn01208503 3 года назад +11

      @@protonneutron9046 yea they dont, just auditors love to file in system. they are organizing freaks.

    • @tealatata
      @tealatata 2 года назад

      😂 awesome

  • @AccordionJoe1
    @AccordionJoe1 4 года назад +22

    If audited, give power of attorney to an accountant and send him or her. That way if the IRS asks a tough question, your stand-in can say he or she will have to ask you about it. That gives you time to come up with a good answer. And if you declare travel expenses, remember you do not need a receipt for any expenditure of $25 or less when you make entries into your travel log,

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +3

      Hi Joseph Van, yes, that's good advice. It kind of frustrates the auditors too.

  • @ericyister
    @ericyister 4 года назад

    very logical & clear video on IRS Audit. Glad to know I have little or no chance of being audited based on my income! :-)

  • @allent1034
    @allent1034 4 года назад +3

    Great advice you seem very knowledgeable. That is the most perfect tie I have ever seen.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад

      Thanks Allen! I appreciate it. Always have to go for the double windsor.

  • @YakMotley
    @YakMotley 4 года назад +583

    Great video! How do I explain to the IRS I bought a boat motor and blew it up for a video? You know, youtuber problems lol!

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +191

      Hi Yak, that'll actually be pretty straight-forward if you have it on film and it's public with a timestamp. Just don't delete the video. Thanks for watching and for your support Yak Motley!

    • @user-qk7yy8xi3q
      @user-qk7yy8xi3q 3 года назад

      👍

    • @silverbackape99
      @silverbackape99 3 года назад +2

      @@clearvaluetax9382 I take care of my dad through IHSS and has a share of cost and we live together but he never pays me because he doesn’t have enough money from his share of cost. So I don’t really get paid and I don’t really charge him. How do I even enter that income that I don’t really have?

    • @jmgraydz
      @jmgraydz 3 года назад +1

      Business write off

    • @chessandmathguy
      @chessandmathguy 3 года назад +4

      Was the video "Boats and Hos?"

  • @MannyA69247
    @MannyA69247 4 года назад

    Love how he explains all this vital info for regular folks.

  • @rogue-ish5713
    @rogue-ish5713 3 года назад +43

    As a small business owner ( 1 person ) I got audited twice, and both times I forgot to put in a W9, ended up paying something like 75 bucks extra for one year and 100 bucks for the other year. And to hear they declare it a big loss that it happens make me smile.

    • @thex2thaz
      @thex2thaz 3 года назад +3

      Our taxes pay for them and they'll just raise taxes, so it's a lose lose.

    • @the_jzapata
      @the_jzapata 3 года назад

      @@thex2thaz Dang it!

  • @davecaron4924
    @davecaron4924 3 года назад +8

    After the GME MOASS these kinda videos will be invaluable. 💎👐

  • @ScottClevelandmi
    @ScottClevelandmi 4 года назад +158

    If you make $10 million and you don’t know how to hide the income… You’re going to get audited😂😂😂😂

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +9

      LOL, true story Scott.

    • @Chris-oz5md
      @Chris-oz5md 4 года назад +1

      Fr lol

    • @whatthez3069
      @whatthez3069 4 года назад

      Its more like you have to pay a big load of taxes.

    • @jeremyhanna3852
      @jeremyhanna3852 4 года назад

      Start a bs 501 3c and start hiding money in there is a good place to start then start a trucking company hide money there also

  • @britzzavibe
    @britzzavibe 3 года назад

    Thank you! And you know your are doing something right when your mentioned by the New York Times magazine. Keep it up!!

  • @paigeg.4889
    @paigeg.4889 3 года назад +1

    the quality of this video is really good for the subject matter

  • @hampdog5716
    @hampdog5716 3 года назад +36

    I was always worried about getting a letter in the mail after doing my taxes but now I realize I'm totally fine haha

  • @superduperboyx
    @superduperboyx 4 года назад +7

    Thanks for the informative video. And I'm jealous, I wished I had your hair, looks pretty solid! Haha

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +1

      L O L, thanks so much superduperboyx!! I appreciate it!

  • @lifeasweknowit2537
    @lifeasweknowit2537 3 года назад

    Great video, thanks for making things easy to understand!

  • @whynot6406
    @whynot6406 3 года назад

    love all your content. always relevant info and presented very well.

  • @juddyyoutube
    @juddyyoutube 4 года назад +3

    I love that you reply to every comment. Great video brother. I subscribed

  • @renee9279
    @renee9279 4 года назад +17

    Thank you! I have always wondered about this. As I am a bookkeeper and not a tax accountant, I have been asked this question -- my answer - "I don't know, please ask your CPA" Now I can direct them to this video :)

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +3

      Awesome! Thank you for your support Renee, I appreciate it!

    • @kristichu8395
      @kristichu8395 4 года назад

      Not every CPA knows ab taxes but tax expert only like Brain.

  • @emmetts1899
    @emmetts1899 4 года назад +2

    This video was very informative,thank you for taking the time to make it.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад

      Thank you Emmett for your feedback and kind words, that's very motivating to me. I appreciate it!

  • @sreykimsear
    @sreykimsear 2 года назад

    Your videos are amazing for us as tax preparers and small business owners.

  • @deadpresident78
    @deadpresident78 3 года назад +61

    I went from making 36k a year to 160k a year back in 09' I was audited. It gets triggered when they see you on the rise.

    • @juice6521
      @juice6521 3 года назад +3

      You don't think someone quadrupling their salary within a year is suspicious?

    • @avenuempire
      @avenuempire 3 года назад +8

      @@juice6521 no. Not these days at least.

    • @mikeg1032
      @mikeg1032 3 года назад +4

      @@juice6521 no. Not really

    • @DoctorWhoNow01
      @DoctorWhoNow01 3 года назад +3

      @@juice6521 ik wym but say he was getting a masters in something and got a good job after it, it's possible. Going from a minimum wage job to a real career can cause a big jump

    • @oscarrlee18
      @oscarrlee18 3 года назад

      @@juice6521 not if they told the G

  • @MaxDamewood
    @MaxDamewood 3 года назад +21

    I just got selected for a “random compliance audit” through the IRS’s National Research Project... wish I had that kinda luck with roulette. 🙃

  • @felixedin8764
    @felixedin8764 3 года назад +2

    Thank you for the information/value. There should be more straight forward content like this on youtube.

  • @stevenhaff3332
    @stevenhaff3332 3 года назад

    Thank you for your video. Every little bit of information helps. God bless!

  • @partyman5909
    @partyman5909 4 года назад +4

    Your hair is on point bro and good info!

  • @efrainrosso6557
    @efrainrosso6557 4 года назад +43

    The more you make, the more they take. Big money equals big audit.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +5

      More money more problems Efrain!

    • @monicadeana4586
      @monicadeana4586 3 года назад

      My husband just had $485 taken out of his check this week 🤦‍♀️

  • @artki6039
    @artki6039 4 года назад

    Thank you so much for clear explaining Mr. Kim. I’m your new fan 😆 👍

  • @Kozo_Hoshino_
    @Kozo_Hoshino_ 3 года назад +2

    Brian as usual hair on point lol...best hair gel in the biz.

  • @user-sn5kj1gy1t
    @user-sn5kj1gy1t 4 года назад +6

    This man is so damn well spoken I agree to what ever he says

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад

      LOL, thanks so much... hey, what's your name? Is it that dot? Nice!

    • @user-sn5kj1gy1t
      @user-sn5kj1gy1t 4 года назад

      ClearValue Tax the name on this account is blanked out for privacy reasons and it cannot be replicated, you also have the dot ;)

  • @Jjunior130
    @Jjunior130 3 года назад +13

    3:44 What will increase audit risk?
    3:50 Having a Schedule C.
    4:30 Having losses in general, depending on the size of the loss.
    5:53 Having certain expenses or certain deductions that are relatively high in comparison to your income.
    7:33 Not reporting your 1099 income(s).

  • @CubsFan2812
    @CubsFan2812 3 года назад

    Great video, I just subscribed! Thanks for all the info. Im self employed so this info helps.

  • @delroque7096
    @delroque7096 Месяц назад

    Excellent Video! Very informative! I appreciate it!😊

  • @barackobama9958
    @barackobama9958 3 года назад +18

    This guy makes me feel all is well with the world

  • @Lanatus
    @Lanatus 4 года назад +207

    Nice to know being poor as f has its benefits.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +13

      LOL, thanks for that comment Lan C.

    • @yugihlh
      @yugihlh 4 года назад +1

      Lan C mo money mo problems

    • @ZanesFacebook
      @ZanesFacebook 3 года назад

      Sure does. 0% capital gains tax and 50% savers credit FTW. Using those two wonderful gifts I make about $55k a year and pay $0 tax. If I never get a raise and tax law doesn't change for 40 years I won't ever pay a dollar in tax. Not even on my Roth conversions when I retire.
      Tax code is very generous to low/middle income. The trick is finding a place where you can live cheaply enough to save 50% of your income and actually take advantage of it.
      Bit of a catch 22, but if you can make it work it's quite the benefit.

    • @Xeonise
      @Xeonise 3 года назад

      Can't have your shit stolen if you don't have shit.

  • @hue4512
    @hue4512 3 года назад

    Very informative! Thanks, and hello from Chicago.

  • @elishahmartinez1452
    @elishahmartinez1452 3 года назад

    I formed a business last year and your video answers a ton of questions. Especially since I've always done my own taxes, and I just filed.

  • @lysan4878
    @lysan4878 3 года назад +38

    We were randomly selected for an audit about 10 years ago. My husband had only 1 employer, made about 60,000 and we have 3 kids. We didn’t even itemize, so needless to say we were fine.

  • @elvismendoza150
    @elvismendoza150 4 года назад +3

    Great content.

  • @omgitzsteg
    @omgitzsteg 4 года назад

    8:55 pure gold. Thanks for another great video!

  • @decimadavis5065
    @decimadavis5065 3 года назад

    Dude.....your videos are priceless. Thank you! ❤

  • @A42yearoldARAB
    @A42yearoldARAB 4 года назад +49

    I live in greedy Minnesota. They audited my gf when she was making 40k. Good thing they had spare money to build those stadiums though.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +1

      Ughhh how unfortunate, I'm so sorry to hear that.

    • @littlemouse9900
      @littlemouse9900 3 года назад

      Yeah my mom got audited 2 years in a row they didn't understand how she could have lived off of so little money. She lives in Minnesota too 😆 it has to be the state.

    • @TheMasterhomaster
      @TheMasterhomaster 3 года назад

      IRA audited her or Minnesota?

  • @robertlavedas4964
    @robertlavedas4964 4 года назад +3

    truth, we tend to enslave are selves, and these are the best and worst of times, I hate RUclips, it's draconian policies, but my gosh, if one is choosey the knowledge available is incredible, and I did watch every second, great job!

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад

      Thanks so much for watching every second Robert Lavedas! Thank you so much for your support, your message meant a lot to me!

  • @thomasr7571
    @thomasr7571 3 года назад

    Excellent video. Much appreciated.

  • @jeffreykornas1669
    @jeffreykornas1669 3 года назад

    Brian my man you look 20 years younger here this covid19 stuff got you up late nights my brother. By the way thanks for just giving us facts no bs I watch yournother videos as well

  • @Os-wk9tv
    @Os-wk9tv 3 года назад +64

    My parents got audited (they r the most honest rule followers of all time!) My Dad worked as a nurse and my mom stayed home. We had lots of chickens, so my Dad went to work with eggs and would sell them for a $1.50...my mom reported this on their taxes. The second year they did this and just guessed that they probably sold the same amount as they did the year before, this apparently got them red flagged and audited. They got fined it was super stressful and a long process and that was the year the IRS stole our Disneyland trip, over a couple dozen 🥚

    • @adrianortiz3751
      @adrianortiz3751 3 года назад +2

      @ClearValue Tax SPAM. Report this fake account, it is NOT Brian!

    • @kerripendragon4888
      @kerripendragon4888 3 года назад +30

      Why tell the IRS you sell eggs to begin with? You are not making over 3000 bucks on those eggs are you? Why bother to report some change?

    • @edgar3776
      @edgar3776 3 года назад +3

      Why report that your selling eggs? Unless your trying to start a business.

    • @bayareababe
      @bayareababe 3 года назад +20

      My parents are the same way. I hope that your parents learned an important lesson- never be too honest with an organization as corrupt and shady as the IRS. I hope they never reported another egg again lol

    • @xSuperMetroidx
      @xSuperMetroidx 3 года назад +22

      People who are overly honest and trusting of authority make themselves into easy targets. Let that be a lesson to keep things private when at all possible.

  • @FinnishArmy
    @FinnishArmy 4 года назад +5

    I got audited for 2019 taxes... I only payed flipping $62 of taxes on some $1,000 as an independent contractor.

  • @LoveGuruBlaire
    @LoveGuruBlaire 4 года назад

    Enjoying your channel! Thank you

  • @Jaden48108
    @Jaden48108 2 года назад

    Informative video. Well done. Thank you.

  • @paulmartin7334
    @paulmartin7334 3 года назад +7

    Makes me feel even less worried about not claiming my $100 in stock gains.

  • @LegoSwordViedos
    @LegoSwordViedos 4 года назад +44

    Happened several times to family members around me and one had to deal with it three times. All of them poor. And I mean make less then $20,000 poor. And the stress and problems it causes for everyone is just awful.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +12

      Jeez, that's awful, I'm sorry to hear that Viridian. Unfortunately, everyone is at risk of being audited..

    • @tigerjonn
      @tigerjonn 4 года назад +21

      That means you are filing taxes in a way it stands out...like something is very wrong, or you have a horrible tax guy....

    • @reecedavis3859
      @reecedavis3859 3 года назад

      They need dependency to claim .. like 3 kids or covid19 lol 😂😂

    • @mercymejia9539
      @mercymejia9539 3 года назад

      I would like to speak with someone who has been audited.

  • @nrpbrown
    @nrpbrown 3 года назад

    This is a pretty interesting video! Thank you

  • @karlsalocks
    @karlsalocks 3 года назад +1

    You have a great channel. Glad I discovered it.

    • @clearvaluetax9382
      @clearvaluetax9382  3 года назад

      Thank you KGS 1982 for all your support, I appreciate it very much!

  • @TerranceYu
    @TerranceYu 3 года назад +4

    Can you do a short video on the role of CPA to reduce audit risk and when it’ll be beneficial to hire a CPA to do your tax vs Turbotax it.

  • @travisfoster8234
    @travisfoster8234 4 года назад +125

    I made 15k last year...am estimated to get $700 back in taxes...and the IRS is auditing me this year...

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +16

      Uggghhhhh.... that's awful. I'm sorry to hear that Answer the Calling.

    • @juanvaca905
      @juanvaca905 4 года назад +6

      Why is that? Did you have suspicious deductions or credits?

    • @travisfoster8234
      @travisfoster8234 4 года назад +16

      @@juanvaca905 No I dont believe so I worked a normal 9-5 for some of the year and then part time the rest.
      They say they'll respond within 6 weeks, I even thought about possibly claiming some stuff I shouldnt, but I purposely didn't because I'm a Christian now

    • @mogotrevo
      @mogotrevo 4 года назад +42

      @@travisfoster8234 You had to become a Christian to be a good human being? That's not good.

    • @travisfoster8234
      @travisfoster8234 4 года назад +32

      @@mogotrevo Actually...yes. I was incapable of acting w/o sin. Even if I did pay my taxes correctly and treated people better than other humans, I was totally incapable of acting w/o constantly sinning against a Holy God. Just like you. Just like every one else. I'm so thankful One would die for me so that I could be saved from that sin 🙌🏼

  • @ShotGunner5609
    @ShotGunner5609 4 года назад

    Interesting suggestion youtube. But good information and delivery. Thanks.

  • @socaljusticewarrior558
    @socaljusticewarrior558 3 года назад

    Haha. Great channel. Liked and subscribed even though I have no business doing so.

  • @davidgray2845
    @davidgray2845 3 года назад +19

    The IRS began garnishing my wages in 2010. I had no idea why. I contacted them and found out they said I owed money from 2006. This wasn’t true. It took me over a year to prove it. Once I had a lawyer and showed I owed them ZERO. They kept the money they garnished and told me they didn’t have to remove the tax lien on my vehicle. I’ve been audited every single year since. I make about 60K a year. I hate these people!!

    • @HxC_Fragman
      @HxC_Fragman 3 года назад +2

      EVERYONE at the IRs are scam artists and scum bags. They work for the International monetary fund. They operate under UCC commercial coding but act like your a domestic terrorist when using it or requesting YOUR PROPERTY. like Social security card and cusip number ect.

    • @b__w_4565
      @b__w_4565 3 года назад +2

      @@HxC_Fragman seriously who tf would even wanna work for our crappy government programs now? they are the robots that like the nazis before them are just following orders!!!

    • @user-ub3bv8gs5d
      @user-ub3bv8gs5d 3 года назад +3

      can you sue the IRS?

    • @HxC_Fragman
      @HxC_Fragman 3 года назад +4

      @@user-ub3bv8gs5d absolutely. Better have everything squared away because they will intimidate you with jail and prison because thats how they operate. They hope and pray that people dont rebuttal anything they offer. Just like the guy above says they dont have the time they surely won't have time to prove everything they claim POint for point in court because most of the stuff they claim doesnt even exist.

    • @davidgray2845
      @davidgray2845 3 года назад +3

      @@HxC_Fragman Correct. The lawyer that squared this away for me told me that the reason they didn’t have to return the money or remove the tax lien from my vehicle was because too much time had lapsed. You can win the battle, but you’ll always lose the war.

  • @TimeGallon
    @TimeGallon 4 года назад +6

    How likely are your chances of being audited?
    About as likely as it is for your comment to not receive a heart.

  • @naseemasait2302
    @naseemasait2302 7 месяцев назад

    Thanks. Your presentation was clear and simple.

  • @jaydee5447
    @jaydee5447 4 года назад

    Great video, fantastic information. Goes to show you that every institution, including the IRS uses R.O.I.

  • @Pppp-yf4lj
    @Pppp-yf4lj 4 года назад +17

    This guy reminds me of Chester Ming from the Wolf of Wall street... but healthier looking.

  • @stevejohnson174
    @stevejohnson174 3 года назад +3

    I remember receiving a notice of audit back in like 1998. I made like 30k working a blue-collar wage job. I claimed nothing on my taxes other than the standard deduction and tuition. I didn't hear anything beyond the initial letter, probably because an auditor finished his "audit" in the four minutes it took to do basic math and checking for enrollment, or something.

  • @matthewmclaughlin4609
    @matthewmclaughlin4609 4 года назад

    These are good statistics. Thanks. From a fellow tax person (CPA)

  • @MooseMoto7
    @MooseMoto7 3 года назад

    My wife just for a new job as an independent contractor. Thank you for this and your other video specifically on that!

  • @jpochervina6795
    @jpochervina6795 3 года назад +16

    My dad used to say, "If I have to pay a ton of taxes, and if I am under the constant shadow of being audited-- every year, only then will I be where everyone hopes to be with their career."

  • @veeanon2238
    @veeanon2238 4 года назад +45

    Oh god I'm an online business owner and I scared shitless of an audit. Granted I'm not profitable but still...

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +10

      uggghhhh, tell me about it... just try your best to reduce audit risk and that's the best we can do.

    • @lastmelon952
      @lastmelon952 4 года назад +25

      IRS looking at return: "There is no way this guy lost this much money. lets do a Audit
      Guy gives over all paperwork*
      IRS looks over paperwork: oh....we're sorry. Carry on.

    • @67_PowerStroke
      @67_PowerStroke 4 года назад +2

      How are you not profitable? I'm very curious as I'm an online merchant and have no clue what i'm doing when it comes to bookkeeping and taxes. I dropship a lot of merchandise and have no way to keep track of "inventory" for tax reporting.

    • @woke72
      @woke72 4 года назад +1

      Me to, i just received the 1099s from the business merchant account so theres no hiding it. Im doomed!

    • @ap23z
      @ap23z 4 года назад +4

      Russell Stamey if you’re drop shipping you have no inventory...

  • @Melki
    @Melki 3 года назад

    Hi, thank you for your videos they are rare and really good. I'm from Indonesia and I'd like to offer my idea for this issue. Firstly the accounting standards, I imagine this applies to many other countries as well including yours... we have small business accounting standards separate from the IFRS standard. So auditors could come not only from experts in the IFRS or GAAP but also from the small business standards.
    Therefore the solution for everybody is for the tax office to supervise directly to public accountants and let the audited reports be admitted as tax audited, certified by the tax office.
    In case of disagreements and the tax office persisted the compensation still would be paid by the individuals not the auditors but the relationship and the reputations of the auditors would be impacted in various ways so this imo will solve the problem of piling unaudited financial statements/reports in the tax office.

  • @kdefensemartialarts8097
    @kdefensemartialarts8097 2 года назад +1

    Thank you for your videos.

  • @RFABProductions
    @RFABProductions 4 года назад +4

    If you breath you get audited, if you talk you get audited, if you stare you'll get audited, and if you live you'll definitely be audited!

  • @richardroberts3322
    @richardroberts3322 4 года назад +15

    The people shouldnt live in fear of being audited by the government, the government should be afraid of being audited by the people! Let's form a militia and enforce our constitutional rights. We dont want any of the extra "amendments"

    • @tskjesusfreak
      @tskjesusfreak 4 года назад +2

      That is dumb, here is a better solution, be an Expat and just float around the world.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +1

      Richard... my goodness. WELL SAID!

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад

      LOL. Nice tskjesusfreak.

  • @tommymay5901
    @tommymay5901 4 года назад +1

    Very helpful video. Thank you

  • @far06c
    @far06c 2 года назад

    thank you for these videos!!

  • @denverbevins4052
    @denverbevins4052 4 года назад +23

    Worse than an audit - a summary fine and simple demand for more money - happened to me several times when I made 240k or more. No audit - no process. Just pay us or we will audit you. Your chouce.

    • @clearvaluetax9382
      @clearvaluetax9382  4 года назад +9

      Where's the justice?!

    • @bondpit8750
      @bondpit8750 4 года назад

      If you know your taxes were done correctly and every deduction you claimed was allowable under the tax code, plus all of your books and records complete, then why would you just pay? I’d have said ‘go ahead and schedule that audit.’

    • @denverbevins4052
      @denverbevins4052 4 года назад +3

      @@bondpit8750 the company I worked for at the time reported to the IRS something different than what was on my w2. I thought the government should go after them. "We always come after the individual" we the response. The company went out of business anyway and could not make the situation right but the government idiot bots don't care. The reason a common person does not want an audit is because 7 years of possible mistakes, coupled with you're a slave to the opinion of whatever child the IRS sends. Ask 3 tax specialists at IRS a question and you will get different answers. Look up how many people go to jail & lose their stuff before inviting the IRS to examine 7 years of documents. They absolutely do not care that you think you've been honest.

    • @bondpit8750
      @bondpit8750 4 года назад +2

      denver bevins 30 yrs ago I was selected for a random audit. A small math error in favor of the IRS was discovered but waived. The auditor asked me if I had the same kind of records for the two previous years. I answered yes that I did and he scheduled me for another 2 examinations. No changes were made to my tax obligation after all three audits. The IRS has to operate within the rules. I believe 3yrs back is the allowed limit unless fraud is found.

  • @Loooooooooooooooool
    @Loooooooooooooooool 3 года назад +12

    23 year old here. I got audited and had to pay back ~$200 for something to do with my student loans years back when I had my dad doing my taxes. I definitely don't make 500k+

    • @gotime1124
      @gotime1124 3 года назад +1

      you missed the part,, if you get audited you at low income , you are just unlucky

    • @Loooooooooooooooool
      @Loooooooooooooooool 3 года назад

      @@gotime1124 Yeah the same day I got audited I also got jury duty. What a shitty mail day.

  • @krazykrush
    @krazykrush 3 года назад

    Wow, this guy does it all. Fights zombies, tends his farm, and is a tax expert!

  • @Technotrad3r
    @Technotrad3r 3 года назад

    Thanks for this very informative video