Posted by Taxpayer on April 28, 2002 at 13:39:51:
In Reply to: Re: Tubas- Are they Tax Deductible? posted by even more broke on April 28, 2002 at 13:28:08:
It still may not be worth it. Okay, you pay a tax preparer to do your return and you get a small reduction in taxes. The IRS may call you in for an audit and you'll end up paying tax preparer to put your case to the examiner. The examiner either says "Oh, never mind" or "No, I don't agree with you and it's going to cost you a penalty and interest". Sure, you can appeal, and you'll be out more money...
I've been audited a few times, and even though I've always prevailed (all were "oh, okay, never mind"), it still cost to have my accountant represent me, albeit the fee was tax-deductible.
If you're in the 15% bracket, is it really worth jumping through the hoops?