Understanding the IRS Audit Process for Residents of Rochester, NY

What Is an IRS Audit and Why Might You Receive a Notice?

An IRS audit is a review of an individual’s or household’s tax return to verify information and ensure the correct amount of tax is being paid. Many people in Rochester, NY first learn they're being audited when they receive a letter from the IRS, not a phone call or email. Audits can happen for several reasons:

• Random selection by IRS computer systems
• Document mismatches (numbers on your return don’t line up with those reported by employers or banks)
• Unusual deductions, credits, or income by area standards
• Mathematical errors or missing forms

Receiving an audit notice does not necessarily mean you did something wrong. Sometimes, an audit happens simply to clarify questions.

How Are IRS Audits Conducted?

Most IRS audits are handled by mail (correspondence audits). The letter will detail exactly what information is needed. In fewer situations, the IRS may request an in-person interview or review (either at an IRS office or, less commonly in Rochester, at your home).

• Mail audits usually request copies of specific documents, such as W-2s, 1099s, receipts, or bank statements, to verify parts of your tax return.
• In-person audits typically address more complex situations—such as those involving business income, multiple properties, or rental activities.

For most individuals in the community, mail audits about straightforward income, deductions, or credits are much more common than face-to-face reviews.

What Documents Might You Be Asked to Provide?

The IRS will specify what records are needed. Common requests include:

• Wage and income statements (W-2s, 1099s)
• Bank or credit union statements
• Proof of deductions (receipts, mileage logs, childcare invoices)
• Records of charitable donations

Holding onto tax-related documents for at least three years after filing is especially wise for area households, as the IRS generally has three years to audit a return. Certain situations, such as substantial underreporting of income, allow the IRS to review returns up to six years prior.

How Long Does the Audit Process Typically Last?

The duration of an IRS audit varies depending on the complexity of your situation, how quickly you respond, and the nature of the questions. Most mail audits are resolved within a few months. Cases that move beyond document review—such as disputes over the value of local property deductions—can take longer.

Responding promptly, fully, and clearly helps keep the timeline short and avoids extra rounds of questions. Delays are more likely during peak tax season or if response times are slow due to winter weather disruptions that occasionally impact local mail delivery.

What Rights and Protections Do Taxpayers Have During an Audit?

Everyone has specific rights under the IRS Taxpayer Bill of Rights. These include:

• The right to know why the IRS is asking for information and how it will be used
• The right to representation (such as from a tax advisor or advocate)
• The right to privacy and confidentiality regarding tax matters



• The right to appeal disagreements within the IRS and, if necessary, through the courts

The IRS will not request payment or sensitive personal information over the phone or via email. Any communication about an official audit will come by mail.

What Happens After the Audit?

Once the IRS reviews the information, three outcomes are possible:

• Agreement: You accept the proposed changes. Any adjustments to tax owed are either billed or refunded.
• Disagreement: You can request a meeting, send additional documentation, or formally appeal.
• No Change: The IRS confirms everything matches, and your return remains unchanged.

Most audit disagreements can be handled by providing clarification or additional evidence that supports your original return.

Are IRS Audits Common in the Local Area?

The IRS audits a very small percentage of all tax returns, typically focusing on higher incomes, business owners, or situations where there are apparent discrepancies. For most individuals in the city, the chance of being audited is low provided routine returns are filed accurately and honestly.
Local situations—like owning a rental property in the area or claiming weather-related disaster deductions—may trigger additional questions, but audits themselves remain infrequent for the majority of residents.

Common Misconceptions About IRS Audits

Myths about audits are widespread. Here are clarified facts for local households:

• The IRS does not contact residents about audits by phone, text, or email—the process begins with an official letter.
• Being audited doesn’t mean you are being accused of a crime.
• Many audits end with no changes to the return.
• Sending more information than is requested does not speed up resolution and can complicate matters.

Knowing what to expect helps reduce stress and supports peace of mind through a sometimes-daunting process.