An IRS tax audit is when the agents or representatives of the IRS examine the taxpayer's return. An IRS tax audit may closely look at the paper work of present and past returns of either an individual or a group entity. Primarily, an IRS audit involves an auditor looking at the individual and employment taxes. Focus may be on certain aspects of taxes. Such an IRS tax audit can involve a close perusal of corporate, gift, estate and excise tax filings. The purpose of an IRS tax audit is to verify the truth of the returns. If the filings are inaccurate, the auditor's report will indicate the failings. It will also be deemed whether the mistakes in the income tax report were accidental or consisted of fraudulent statements. Failure to tell the truth on income taxes can result in severe penalties. If the filing is deliberately misleading or even involves tax evasion, the result could be an economic penalty as well as imprisonment. To avoid finding yourself in this situation, hire an IRS tax attorney and a reliable accountant.