Taxpayer Rights During an IRS Audit: A Practical Checklist

Background

The IRS formalized core taxpayer protections with the Taxpayer Bill of Rights and reinforced them through laws and guidance after the IRS Restructuring and Reform Act of 1998. These protections are current and summarized by the IRS; they apply to individuals and businesses undergoing any type of tax examination (correspondence, office, or field). See the IRS Taxpayer Bill of Rights for the official list (IRS, 2025): https://www.irs.gov/taxpayer-rights.

Why this matters (in my practice)

In my work helping taxpayers prepare audit responses, those who know and assert their rights get better outcomes. Claiming the right to representation, asking for reasonable deadlines, and using the appeals process when appropriate often reduces stress, limits unneeded information disclosure, and preserves legal options.

Quick checklist: immediate steps after an audit notice

1. Read the notice carefully — note deadlines and scope. The notice explains whether it’s a correspondence, office, or field audit (IRS Publication 556 explains audit types and procedures: https://www.irs.gov/pub/irs-pdf/p556.pdf).
2. Don’t panic — don’t send original documents. Send copies unless the IRS specifically requests originals and documents their return method.
3. Consider representation. Use Form 2848 (Power of Attorney) to appoint a CPA, attorney, or enrolled agent to speak for you.
4. Organize and match records to the items identified by the IRS. Create a labeled binder or digital folder (date-stamped PDFs help).
5. Respond in writing by the deadline. If you need more time, request it in writing; the IRS often grants reasonable extensions.
6. Keep notes of every contact—dates, names, phone numbers, and summaries.

Core taxpayer rights to remember

• Right to be informed: You’re entitled to clear explanations about why the IRS is contacting you and what is required (IRS Taxpayer Bill of Rights).
• Right to quality service: Expect courteous, professional treatment.
• Right to representation: Authorize a qualified representative to act for you (use Form 2848).
• Right to privacy and confidentiality: The IRS must protect taxpayer information and limit requests to relevant documents.
• Right to pay no more than the correct tax: The IRS must follow law and procedures when assessing tax.
• Right to challenge the IRS’s position and be heard: You can present facts and law to support your position.
• Right to an appeal: Disagree with an outcome? You may request an independent Appeals Office review before paying proposed tax.
• Right to finality: You can expect closure after statutes of limitations run or when a matter is settled.

How to assert these rights (practical actions)

• Use written communications. Whenever possible, communicate in writing and keep copies.
• Appoint a representative early if you’re uncomfortable dealing directly with the auditor. See When a Tax Practitioner Should Be Added to Your Audit Team for guidance on timing and roles: https://finhelp.io/glossary/when-a-tax-practitioner-should-be-added-to-your-audit-team/.
• Prepare an audit response packet that ties each requested item to a page or exhibit. For office audits, practice what you’ll say and bring a clean, indexed binder—see How to Prepare for an IRS Office Audit: Documentation, Meetings, and Best Practices: https://finhelp.io/glossary/how-to-prepare-for-an-irs-office-audit-documentation-meetings-and-best-practices/.
• If audited items involve complex legal issues, discuss whether to engage an attorney instead of (or in addition to) a tax preparer.

When to use the appeals process or seek the Taxpayer Advocate

• Appeals: If you disagree with the auditor’s proposed adjustments and cannot resolve them locally, you can request an independent review by the IRS Office of Appeals. See How to Prepare an Appeal Brief for an Audit Dispute for tips on structuring your argument: https://finhelp.io/glossary/how-to-prepare-an-appeal-brief-for-an-audit-dispute/.
• Taxpayer Advocate Service: If you face economic harm, delays, or systemic issues, contact the Taxpayer Advocate Service (independent within the IRS) for help: https://www.taxpayeradvocate.irs.gov/.

Common mistakes to avoid

• Sending unorganized or excessive documents that make it harder to find the facts.
• Missing deadlines without requesting extensions in writing.
• Talking to the auditor without being prepared or without a representative if you’re unsure of the facts.
• Ignoring small procedural rights (e.g., the right to privacy) — these can matter if an auditor asks for irrelevant personal information.

Example scenarios (brief)

• Correspondence audit: Respond by mail with clear copies and a one-page cover letter citing the requested calendar years.
• Office audit: Bring a concise binder, copies of original documents, and your representative if you’ve appointed one.
• Complex dispute: Use the Appeals Office before paying to preserve appeal rights and avoid interest on a contested amount if possible.

Authoritative sources

• IRS — Taxpayer Bill of Rights: https://www.irs.gov/taxpayer-rights
• IRS Publication 556, Audit Process: https://www.irs.gov/pub/irs-pdf/p556.pdf
• Taxpayer Advocate Service: https://www.taxpayeradvocate.irs.gov/

Professional tips (final)

• Start assembling records every year to reduce audit stress later. Implement a simple retention system: tax returns + supporting records for at least three years, longer if you have assets, carryforwards, or potential fraud concerns.
• When in doubt, hire qualified help early—often the cost is lower than the risk of an unchallenged adjustment.

Disclaimer

This article is educational and general in nature. It does not provide legal or tax advice for specific situations. Consult a qualified tax professional or attorney for personalized guidance.