TAX TIP

ok, so since I have been taking my tax classes to get ready for the next season, I have been finding out things about audits. So I got a little spooked about one of the highly audited things and wanted to inform all you who use it even though I don't yet.

So the Ogden IRS office used to be the place that decided the majority of the audit reasons, but for some reason, the home office decided to take over that responsibility. Why does this matter? Well the Ogden people understood the dynamic of the LDS church and how members will give 10% of their income in tithing. I was told that in New York if you give more than $500 in charitable contributions it is an automatic audit. So where I am going is that the IRS is auditing Utahns for their charitable contributions.

Now you are thinking "I keep the church statement they give me every year with all my tax stuff", or at least I hope you do that at least. Well I was informed that the IRS is not accepting that as a form of proof. What the IRS wants is the yellow tithing slips and copies of your cancled checks from the bank. You will want to go as far back as you can right now if you have been using your tithing as an itemized deduction. Our tax office is getting hit this summer with 2006 returns, so don't just think you are in the clear because you haven't heard anything.

Now that I have scared you I want to calm you down a little, they won't audit you for just tithing, they usually will find something more before they will do that. So for the future, you will want to keep your yellow slips, and print off your cancled checks when you get them. It's a hassle, but if you have them, they will not contest you on that at all.