IRS Audit Rates
The most audited businesses are sole proprietorships and small to medium sized C Corporations. The least-audited businesses are S Corporations, partnerships, or LLC's (which are taxed the same as partnerships).
| Type of Taxpayers | Audit Rate (%) | |
|---|---|---|
| Individuals - Non-business | ||
| Total income of $50,000 to $99,999 |
0.77 |
|
| Total income of $100,000 and above |
2.27 |
|
| Individuals with business Schedule C | ||
| $25,000 to $99,999 |
2.57 |
|
| $100,000 and above |
4.13 |
|
| C Corporations with assets of | ||
| Under $250,000 |
1.19 |
|
| $250,000 to 1 million |
3.52 |
|
| $1 million to $5 million |
7.78 |
|
| $5 million to $10 million |
16.02 |
|
| $10 million to $50 million |
20.10 |
|
| S Corporation (Overall) |
1.04 |
|
| Partnerships and Multi-Member LLC |
0.59 |
