Increase in Audits of Estate Tax Returns

Be careful when signing the federal 706 Estate Tax return.

According to Frank Byrt of Accounting Web:

The IRS scrutinized estate tax returns more than any category of individual tax returns in tax year 2011, at close to a 30 percent rate of examination, while individual income tax returns with $1 million or more in income saw a slight decline in audit coverage, according to the “2012 Internal Revenue Service Data Book,” issued March 25.

See the entire article at Accounting Web.

 photo credit: DonkeyHotey