Walt Dallas: We believe it does, we believe planning will reduce your chances of audit. It kind of makes sense, does it? If you don’t plan, you are more likely to be audited than if you have a plan to minimize your chances of being audited.
Todd Mardis: The truth of the matter is that a lot of the indexes that the IRS use is based on your income, therefore, if you can legally reduce your amount of taxable income, you wouldn’t fairly reduce the chance of an audit.
Walt Dallas: So, we like to use such strategies that are going to end up reducing the taxable income, and that is going to reduce the chance of an audit.
Also, we are going to have the Retirement Preparation look more presentable to the IRS than what they are looking for. We know the things that they are looking for when they get on audit, and we are going to structure the tax return to no have those red flags out there.
Todd Mardis: And so, it becomes very pragmatic to think you have a better chance of winning having done a plan in tax planning, using CPAs and attorneys versus not having a plan.
So, not only do we want to reduce and I think we do reduce the audit risk, but most importantly, we want to make sure that if you are audited, we win, and our success rates have been phenomenal.