As a resident of Orange County or Los Angeles County, you
understand that your financial transactions are often replete with
complicated tax issues that must be addressed if the individual
wants to avoid the potential for a nasty tax surprise. The tax
surprise could be an IRS letter requesting an additional payment
with interest and penalties.
Alternatively, the IRS agent may decide that he or she needs to
engage in a broader audit that looks into other related
transactions. Few prudent taxpayers would ever invite the IRS or
U.S. government to analyze their finances. And yet, engaging in
even seemingly relatively straightforward transactions without
fully considering and accounting for tax considerations can open
the door to an audit or investigation.