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What Is the IRS? A Guide to How It Works for You

IRS employees working in an office to process tax returns and assist taxpayers.

It’s easy to think of the IRS as a mysterious agency you only deal with once a year. But what if you saw it as a resource? The agency actually provides a number of free, effective tools designed to make managing your taxes simpler and more secure. From online accounts that give you instant access to your tax records to estimators that help you perfect your withholding, these resources can save you time and prevent headaches. This guide will show you how to use these tools, how to contact the IRS effectively, and when it makes sense to call a professional for help.

Key Takeaways

  • The IRS is more than a collector; it's also a resource: While the agency's main job is collecting taxes, it also provides many free tools, guides, and programs designed to help you understand your responsibilities and file correctly.
  • Know your rights and use the available tools: The Taxpayer Bill of Rights ensures you are treated fairly, and free digital resources like an IRS Online Account or the Where's My Refund? tool put essential information directly in your hands.
  • Be proactive, but know when to call a professional: Keeping good records and understanding your filing duties can prevent most problems. For complex events like starting a business, owning rental property, or facing an audit, an expert can provide peace of mind and save you money.

What Is the IRS?

The Internal Revenue Service, or IRS, is a name that can make anyone’s ears perk up. But what is it, really? At its core, the IRS is the government agency in charge of collecting federal taxes and making sure everyone follows the tax laws. It’s a bureau within the U.S. Department of the Treasury, and it plays a huge role in how our country runs. Think of it this way: the money the IRS collects is what funds most of the federal government’s operations, from building roads to funding social programs. Understanding how the IRS works is the first step to feeling more confident about your own taxes, whether you’re filing for yourself, your family, or your small business.

A Quick History of the IRS

The IRS hasn’t been around forever. It actually got its start in 1862 during the Civil War, when President Lincoln created an office to collect the nation's first income tax to fund the war effort. That tax was only temporary. The agency we know today really began to form in 1913 with the passing of the 16th Amendment, which gave Congress the permanent authority to collect income taxes. The agency officially became the 'Internal Revenue Service' in 1953 and has been evolving ever since. It moved from paper to computers in the 1950s and later introduced electronic filing, which is how the vast majority of us file our taxes today.

Major Laws That Shaped the IRS

The legal backbone of the IRS is the 16th Amendment to the U.S. Constitution. Ratified in 1913, this amendment gives Congress the official power to collect taxes on income from any source. Based on that authority, Congress created the U.S. Internal Revenue Code (IRC), which is the official rulebook for all federal tax laws. This code is what the IRS follows and enforces. Over the years, the government's power to collect income taxes has been challenged and consistently upheld in court. So, when you file your taxes, you are following a system with a long-standing legal foundation rooted directly in the Constitution.

The IRS's Role in Government

The primary role of the IRS is to be the nation's tax collector. It’s a massive job, as the agency collects the vast majority of the money needed to keep the U.S. federal government running. But its responsibilities don't stop there. The IRS is also tasked with helping taxpayers understand and meet their obligations. It provides forms, instructions, and support to millions of Americans. At the same time, the agency enforces tax laws by identifying and dealing with incorrect or fraudulent tax filings. The IRS also manages certain benefit programs and issues refunds to taxpayers who have overpaid. It’s a balancing act of service and enforcement, all guided by its mission to serve the American public.

What Does the IRS Actually Do?

The Internal Revenue Service, or IRS, might seem like a mysterious entity, but its role is actually quite straightforward. When you break it down, the agency has three main jobs that affect every taxpayer. Understanding these functions can make tax season feel a lot less intimidating and help you see how the system works. At its core, the IRS is there to manage the country's tax system, and that involves more than just taking your money.

Collect and Process Taxes

First and foremost, the IRS is the nation's tax collector. As a bureau of the U.S. Department of the Treasury, its primary responsibility is to gather the funds that keep the federal government running. Think of it as the financial engine for everything from national parks to defense programs. When you file your tax return and pay what you owe, the IRS processes that information and payment. This collection process is essential for funding public services. The agency handles millions of returns each year, managing individual, business, and other types of federal taxes.

Enforce Tax Laws

Beyond collecting taxes, the IRS is also responsible for making sure everyone pays their fair share. This is their law enforcement function. The agency works to ensure compliance with the Internal Revenue Code, the body of law that governs our tax system. This involves identifying tax fraud, pursuing those who don't file or pay, and conducting audits to verify accuracy. While an audit can be stressful, this role is crucial. It maintains the integrity of the tax system and ensures the government has the money it needs to operate, with the Internal Revenue Service collecting the vast majority of federal revenue.

Educate and Assist Taxpayers

It might be surprising, but a huge part of the IRS's job is to help you. The agency provides a wealth of resources to help taxpayers understand and meet their tax duties. This includes publishing forms, instructions, and guides on countless tax topics, all available on their website. They also offer tools to track your refund and make payments. If you need direct assistance, you can find help through various programs or even call the Internal Revenue Service with your tax questions at their toll-free number, 1-800-829-1040. Their goal is to make compliance as straightforward as possible for everyone.

How the IRS Affects You and Your Business

Whether you're an individual, a new homeowner, or running a small business, the IRS plays a significant role in your financial life. The agency is responsible for collecting federal taxes and making sure tax laws are followed. Staying organized and informed is the best way to manage your tax obligations confidently and avoid unnecessary stress. Let’s walk through the key areas where the IRS impacts your personal and business finances.

Know Your Filing Requirements and Deadlines

The first step to a stress-free tax season is knowing what you need to file and when. These requirements can change based on your situation, like if you’re self-employed, own a rental property, or have employees. The Internal Revenue Service sets these rules, and missing a deadline can lead to penalties and interest, which can add up quickly. For business owners, you might have quarterly estimated tax payments in addition to your annual return. For individuals, life events like getting married or buying a home can change your filing status. Taking the time to understand your specific obligations is crucial for staying compliant and in control of your finances.

Understand Tax Withholding and Refunds

Many people see a large tax refund as a bonus, but it’s actually your own money being returned to you after you gave the government an interest-free loan. Understanding how tax withholding works gives you the power to adjust your finances for better cash flow throughout the year. If you consistently get a huge refund, you could reduce your withholding and see more money in each paycheck. On the other hand, if you always owe money, you might want to withhold more. The best way to check on a refund is not by calling but by using the online Where's My Refund? tool. It’s the most direct and accurate source of information.

Manage Payroll Taxes as an Employer

If you have employees, managing payroll taxes is one of your most important responsibilities. As an employer, you are required to withhold federal income tax, Social Security, and Medicare taxes from your employees' wages. You also have to pay your own share of these taxes. The IRS takes payroll tax obligations very seriously, and mistakes can lead to significant penalties. It’s essential to stay informed about your duties, from correctly calculating withholdings to making timely deposits and filing the right forms. Keeping clear, accurate records is non-negotiable and will save you major headaches down the road. You can find official guidance on the IRS's employer tax responsibilities.

Find Deductions and Credits for Your Business

One of the best ways to lower your tax bill is by taking advantage of all the deductions and credits you’re entitled to. A deduction reduces your taxable income, while a credit directly reduces the amount of tax you owe. For business owners, new homeowners, and rental property owners, there are many potential tax breaks available. The key is to understand the distinction between legitimate business costs and personal expenses to avoid issues with the IRS. Keeping meticulous records of your income and expenses throughout the year makes it much easier to identify and claim every business deduction you deserve, ultimately saving you money.

Know Your Rights as a Taxpayer

It’s easy to feel like the IRS holds all the cards, but that’s not the whole story. As a taxpayer, you are protected by a set of fundamental rights, known as the Taxpayer Bill of Rights. These aren't just suggestions; they are legal principles the IRS must follow in every interaction with you. Understanding these rights helps you stand on solid ground and ensures fairness in the tax system. Let's look at three of the most important rights you have.

The Right to Be Informed

You have a right to know what you need to do to comply with tax laws. The IRS has a responsibility to explain the law and its own procedures in a way you can understand. This means providing clear forms, instructions, and notices. The agency's official IRS overview even outlines its role in helping taxpayers meet their obligations. So, if you’re confused about a specific tax rule or what a notice means, you are entitled to seek and receive a clear explanation. This right empowers you to be proactive and confident in managing your taxes, rather than feeling lost in complicated rules.

The Right to Challenge the IRS

If you disagree with a decision the IRS has made, you have the right to object. It’s one of the most common myths about the IRS that their word is final, but you can and should voice your position if you believe they've made a mistake. This includes the right to provide additional documentation to support your case and to have your objection heard by an independent body. The IRS Office of Appeals is separate from the part of the IRS that made the initial decision, ensuring a fair and impartial review. This right is your safety net, giving you a formal path to contest a tax assessment or a denied credit.

The Right to Privacy

Your financial life is personal, and you have the right to keep it that way. The IRS is legally required to protect your tax information from being disclosed to the public or any unauthorized party. They can only share your data under very specific and limited circumstances, and they must inform you when they do. This right to confidentiality is a cornerstone of our tax system, building trust between you and the agency. While there are many common tax myths out there, your privacy isn't one of them. The IRS must treat your information with the highest level of security, ensuring your sensitive financial details remain private.

Helpful IRS Tools You Should Use

Dealing with the IRS doesn't have to be a headache. The agency actually provides a number of free, user-friendly tools designed to make managing your taxes simpler and more secure. Whether you're filing your return, checking on a refund, or figuring out your payments, there’s likely an official tool that can help. Knowing what’s available can save you time, money, and a lot of stress. Think of these resources as your direct line to getting the information you need without waiting on hold. Let's walk through some of the most valuable tools you should have on your radar.

IRS Free File and E-Filing

If you meet certain income requirements, you can file your federal tax return without spending a dime. The IRS Free File program partners with third-party tax software companies to offer free, guided tax preparation. It’s a fantastic way to meet your tax obligations accurately and affordably. Even if you don't qualify for the guided software, you can still use Free File Fillable Forms, which are electronic versions of paper IRS forms. This service is typically available until the tax extension deadline in October, giving you a cost-effective option for filing your taxes electronically and getting your refund faster.

Your IRS Online Account

Think of this as your personal, secure dashboard for all things taxes. Creating Your IRS Online Account gives you immediate access to your tax information whenever you need it. Once you’re set up, you can view your tax records and transcripts, see your payment history, and check the details of your latest tax return. It’s also the place to go if you need to make a payment or check on the status of your refund. Having an online account streamlines how you interact with the IRS, putting essential information right at your fingertips and reducing the need to mail in forms or make phone calls.

The IRS2Go Mobile App

For tax help on the go, the official IRS2Go mobile app is a surprisingly handy tool. Its most popular feature is the refund status tracker, which lets you know where your refund is in the process, from receipt to approval and payment. The status is updated once a day, usually overnight, so you can get a quick, reliable update without having to sit at a computer. The app also provides free tax tips and makes it easy to find free tax preparation assistance near you. It’s a simple, secure way to stay connected and informed during tax season.

Tax Withholding Estimator

Have you ever gotten a much smaller refund than you expected or, worse, a surprise tax bill? The Tax Withholding Estimator is an online tool designed to prevent that. It helps you figure out if you're having the right amount of tax withheld from your paycheck. This is especially useful if you've had a major life change, like getting married, buying a home, or starting a side hustle. By answering a few questions, the estimator can help you determine if you need to adjust your W-4 form with your employer to ensure you’re on track for the year.

Identity Protection PIN (IP PIN)

Tax-related identity theft is a serious concern, but the IRS offers a powerful, proactive tool to protect you. An Identity Protection PIN, or IP PIN, is a unique six-digit number that adds an extra layer of security to your tax account. When you use an Identity Protection PIN (IP PIN), it confirms your identity and prevents anyone else from filing a tax return with your Social Security number. While some taxpayers are automatically enrolled, anyone can voluntarily opt into the IP PIN program. It’s a simple and effective step you can take to safeguard your sensitive financial information.

Free Tax Help Programs (VITA & TCE)

You don't always have to pay for professional tax help. The IRS sponsors two fantastic programs that offer free basic tax return preparation to qualified individuals: the Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) programs. VITA sites generally assist people who make $64,000 or less, persons with disabilities, and limited English-speaking taxpayers. TCE provides free tax help, particularly for those who are 60 years of age and older, specializing in questions about pensions and retirement-related issues. These IRS-certified volunteers can help you file your return correctly and ensure you get all the credits you deserve.

Set Up Payment Plans

If you find yourself with a tax bill you can't pay all at once, don't panic. The IRS is usually willing to work with you. The agency offers several options to help you manage your tax debt, and you can apply for them directly online. Depending on how much you owe, you may qualify for a short-term payment plan (up to 180 days) or a long-term installment agreement to pay your bill over time. Using the online tool to set up payment plans is the fastest and easiest way to find a resolution and get back on solid financial ground.

How to Handle Common IRS Issues

Dealing with the IRS can feel intimidating, but many common issues are more manageable than you might think. Whether you've made a simple mistake on your return, received a confusing notice, or are facing a more serious problem like an audit or tax debt, there are established procedures to help you resolve it. The key is to act promptly, understand your options, and know when to ask for help. Staying organized and informed will make the process much smoother and give you the confidence to handle whatever comes your way. Remember, you have rights as a taxpayer, and the IRS provides many resources to guide you.

Correct a Tax Filing Error

It happens to the best of us. You file your taxes, breathe a sigh of relief, and then realize you forgot to include some income or claim a deduction. Don't panic. If you need to fix mistakes on a tax return you already filed, you can simply file an amended return. The IRS provides a specific form for this purpose, Form 1040-X, Amended U.S. Individual Income Tax Return. You’ll use it to report any changes to your income, deductions, or credits. It’s important to file an amended return to avoid potential penalties and interest on unpaid taxes. You generally have three years from the date you filed your original return to make corrections.

Face an Audit: What to Expect and How to Respond

The word "audit" can cause instant anxiety, but it’s not always a sign of trouble. While the IRS does focus on complex cases, audits can happen to anyone. Often, they are triggered by simple discrepancies, like a mismatch between your reported income and information from a third party, or unusually high deductions compared to your income. If you’re selected for an IRS audit, you’ll receive a letter explaining what they are reviewing. The best response is to stay calm, gather the requested documents, and respond by the deadline. Many audits are straightforward and can be handled through the mail. For more complex situations, consider getting help from a tax professional.

Decode IRS Notices and Letters

Receiving an official-looking envelope from the IRS can be nerve-wracking, but most notices are not cause for alarm. Many are simple requests for more information, notifications of a minor change to your return, or updates on your refund status. In fact, the best way to check the status of a refund is online, not by calling. Before you do anything else, read the notice carefully to understand what it’s about and what action, if any, you need to take. It will include a deadline for your response, so be sure to act on it promptly to avoid further issues. If you disagree with the notice, there are steps you can take to challenge it.

Handle Tax Debt, Penalties, and Interest

Falling behind on your taxes can feel overwhelming, especially when penalties and interest start to add up. If you find yourself unable to pay what you owe, the worst thing you can do is ignore the problem. The IRS is surprisingly flexible and offers several tax debt relief options for taxpayers who are struggling. You may be able to set up a short-term extension or a monthly payment plan. In some cases, you might even qualify for an Offer in Compromise, which allows you to settle your tax debt for less than the full amount you owe. The first step is to assess your situation and contact the IRS to find a solution that works for you.

Avoid IRS Scams and Identity Theft

Tax season is a prime time for scammers trying to get your personal information. These criminals often pose as IRS agents and use threats to scare you into paying them. Remember, the IRS will never initiate contact by email, text, or social media to request personal or financial information. They also won't call with threats of jail time or demand payment via gift cards or wire transfers. Be skeptical of any unsolicited communication and check the latest tax scams and consumer alerts. At the same time, don't try to hide income intentionally. The IRS has ways to detect it, and tax evasion can lead to severe penalties. If you suspect you're a victim of identity theft, report it to the IRS immediately.

Common Myths About the IRS

Taxes can feel complicated, and where there’s complication, myths and rumors are sure to follow. It’s easy to get tax advice from a well-meaning friend or family member that turns out to be completely wrong. Believing these myths can lead to unnecessary stress and costly mistakes on your tax return. Let’s clear the air and debunk some of the most common misconceptions about the IRS, so you can approach your taxes with confidence and clarity. Separating fact from fiction is the first step toward a healthier relationship with your finances and the tax system.

Myth: Only the Wealthy Get Audited

This is one of the biggest and most persistent myths out there. While it’s true that the IRS dedicates resources to complex, high-income returns, an audit can happen to anyone, at any income level. Most audits aren't dramatic, in-person investigations. Many are simple correspondence audits conducted entirely by mail. They are often triggered automatically by red flags in the system, such as a mismatch between the income you reported and the information your employer or clients sent to the IRS. Other common triggers include claiming unusually high deductions compared to your income or simple calculation errors. The key to avoiding issues is filing an accurate and well-documented return, no matter how much you earn.

Myth: A Big Refund Is Always Good News

Getting a huge check from the IRS might feel like winning the lottery, but it’s important to understand what a refund really is. In most cases, a large refund means you overpaid your taxes throughout the year. You essentially gave the government an interest-free loan with your own money. While some people prefer this as a forced savings plan, you could have used that cash for monthly expenses, investments, or paying down debt. A better goal is to break even. You can adjust your withholdings by using the IRS's Tax Withholding Estimator to keep more of your money in your paycheck, where it belongs.

Myth: Filing an Extension Leads to an Audit

Many people worry that filing for a tax extension will put a spotlight on their return and increase their chances of an audit. This is simply not true. The IRS understands that life happens, and sometimes you just need more time to get your paperwork in order. Filing an extension is a routine and perfectly acceptable process. In fact, it’s much better to file an extension and submit an accurate, complete return later than to rush and file an incorrect one on time. Just remember, an extension gives you more time to file your forms, not more time to pay any taxes you owe.

Myth: You Can Get Away With Hiding Income

Thinking you can hide cash payments or other income from the IRS is a risky gamble. The IRS has powerful systems in place to detect unreported income. It cross-references information from banks, employers, and payment processors (like PayPal or Venmo) to find discrepancies between what you report and what third parties report you received. Failing to report all your income is considered tax evasion, which can lead to severe consequences. You could face steep penalties, back taxes with interest, and in serious cases, even criminal charges. Honesty is always the best policy when it comes to your income.

The Modern IRS: How It's Changed

The IRS you might picture from old movies is a thing of the past. Over the years, the agency has gone through significant changes to become more efficient, accessible, and taxpayer-focused. From major structural reforms to the widespread adoption of digital tools, today's IRS is designed to work better for everyone, including small business owners, homeowners, and individuals. Understanding these shifts can help you feel more confident when it comes to managing your taxes. These changes show a commitment to improving the taxpayer experience, making it easier for you to stay compliant and informed.

Key Reforms That Improved the IRS

One of the most important shifts happened in 1998 when the IRS was reorganized. Before this, the agency was structured by geographic location. Now, it’s organized around four main types of taxpayers: Large Business & International, Small Business/Self-Employed, Wage & Investment, and Tax-Exempt & Government Entities. This was a huge step forward. For small business owners and individuals, it means there are specific divisions within the Internal Revenue Service dedicated to understanding your unique financial situations and challenges. This taxpayer-centric approach helps the agency provide more relevant guidance and support, making the whole system a bit more personal and a lot less intimidating.

How Technology Makes Taxes Easier

Technology has completely transformed how we interact with the IRS. The agency started using computers to process returns way back in the 1960s, but the real game-changer was the introduction of electronic filing. Today, e-filing is the standard, with about 90% of all individual returns being submitted digitally. This makes filing faster, reduces errors, and gets refunds processed much more quickly. Beyond just filing, the IRS now offers a suite of online tools, from setting up an online account to track your information to using mobile apps for quick help. This digital shift means less paperwork and more direct, convenient ways for you to manage your tax obligations.

Recent Tax Law Changes to Know

Tax laws are constantly evolving, and the IRS is responsible for putting these new rules into practice. These changes can impact everything from the deductions you can claim for your small business to the tax credits available for homeowners. Since the IRS collects the vast majority of the revenue needed to run the federal government, staying current on these updates is essential for your financial health. Keeping up with tax law changes ensures you aren't overpaying or missing out on valuable savings. This is also where working with a tax professional can be a lifesaver, as we can help you apply the latest legislation to your specific situation.

How to Talk to the IRS

Contacting the IRS might feel intimidating, but it doesn't have to be. The agency has several ways to get in touch, and knowing which one to use can save you a lot of time and stress. Whether you have a simple question about your refund or a more complex issue, there’s a clear path to getting the answers you need. The key is to start with the simplest method first and only move to the next step if necessary. This approach helps you resolve your issue as efficiently as possible.

Start With Online Tools

Before you even think about picking up the phone, head to the IRS website. The agency has put a lot of effort into its digital tools, and they are surprisingly effective for most common questions. For instance, if you're wondering about your refund, the best way to check its status is with the online Where's My Refund? tool or the IRS2Go mobile app. Many people assume calling will get them a different answer, but these platforms pull from the same data that IRS representatives use. Using the online portal is the fastest way to get an update without waiting on hold.

Prepare for a Call or Visit

If the online tools direct you to call or if your issue is too complex to solve online, your next step is the phone. To make the call as productive as possible, gather your documents beforehand. You’ll likely need your Social Security number or ITIN, your filing status, and a copy of the tax return in question. For refund questions, the automated hotline at 800-829-1954 has the same information as the online tools. For other issues, be prepared for a potential wait time. Having all your information ready ensures that once you connect with an agent, you can get your questions answered efficiently.

Book an In-Person Appointment

For complex situations that require a face-to-face conversation, you can schedule a meeting at an IRS Taxpayer Assistance Center (TAC). It’s important to know that these offices require an appointment; you can’t just walk in. You can find a local IRS office and see what services they offer on the IRS website. When you book your appointment, the site will tell you exactly what documents to bring. While this is a good option for certain issues, remember that a qualified tax professional can often handle IRS correspondence on your behalf, saving you the trip and giving you peace of mind.

When to Call a Tax Professional

While plenty of people successfully file their own taxes every year, there are moments when calling for backup is the smartest move you can make. Think of a tax professional as your financial co-pilot. They can take the controls when the flight path gets complicated, ensuring you land safely and without leaving any money on the table. So, how do you know when it's time to make that call?

Your financial life becoming more complex is a big indicator. If you've started a business, own rental properties, or are working with investments, your tax situation is no longer simple. Tax laws can be incredibly intricate and are always changing, making it tough to keep up on your own. A professional's job is to stay informed about current regulations so you don't have to. They can also help you identify deductions and credits that you may not be aware of, which could save you a significant amount of money.

Another clear sign is receiving a letter or notice from the IRS. Getting mail from the IRS can be stressful, but you don't have to handle it alone. If you're facing an audit or need to respond to an inquiry, a tax professional can represent you and manage communications, making the entire process much smoother. They understand what the IRS is looking for and how to prepare for an audit effectively. Honestly, sometimes it's just about saving yourself time and stress. If you feel overwhelmed by the paperwork or are worried about making a mistake, hiring an expert provides peace of mind and ensures your taxes are filed accurately and on time.

Frequently Asked Questions

I received a letter from the IRS. What should I do first? The first step is to take a breath and not panic. Most IRS notices are not about audits or trouble; they are often simple requests for more information or notifications about a change to your account. Read the letter carefully to understand what it is asking for and pay close attention to any deadlines for a response. Acting promptly is important. If the notice is confusing or concerns a complex issue, that is a perfect time to contact a tax professional who can interpret it for you and handle the response.

I found a mistake on my tax return after I filed. Is it too late to fix it? No, it's definitely not too late, and correcting it is the right thing to do. You can fix errors on a previously filed return by filing an amended return using Form 1040-X. This form allows you to report changes to your income, deductions, or credits. It's a common process, so there's no need to worry. You generally have three years from the date you filed the original return to submit a correction, which can help you avoid potential penalties and interest down the road.

What happens if I owe taxes but can't afford to pay the full amount right away? Ignoring a tax bill is the one thing you should never do. The IRS is actually quite willing to work with taxpayers who are unable to pay their full balance at once. The agency offers several payment solutions, including short-term payment plans and long-term installment agreements that allow you to pay off your debt over time. You can even apply for these plans online. The most important step is to communicate with the IRS and find a solution that gets you back on track.

Does filing for a tax extension increase my chances of being audited? This is a common myth, but the answer is no. Filing for an extension is a routine and perfectly acceptable part of the tax process. The IRS understands that people sometimes need more time to gather their documents and file an accurate return. In fact, the agency would much rather you file a complete and correct return on an extension than a rushed and inaccurate one by the original deadline. Just remember that an extension gives you more time to file your forms, not more time to pay any tax you owe.

When should I stop trying to do it myself and just hire a tax professional? You should consider hiring a professional when your financial life gets more complex than just a simple W-2. If you've started a business, bought a rental property, have significant investments, or are self-employed, a professional can help you find deductions and credits you might miss. It's also wise to call for help if you receive any notice from the IRS, especially an audit letter. A professional can handle the correspondence for you, saving you time and giving you peace of mind that everything is being managed correctly.