Correspondence Audit

If you are new to the business, finance, or investing world, chances are you have at least watched TV or movies and know that the term “audit” is...not a good one.

When a company is audited, the IRS has found something sketchy on its tax return. In a correspondence audit, they are only looking at the lowest level of auditing though. It's called a correspondence audit because correspondence is sent to a company from the IRS that says they need more information about that, uh...sketchy thing.