4.88 Examined by the IRS.
The IRS examines (audits) some tax returns in greater detail to verify that the tax reported is correct. The rates of examination vary depending on the size of the individual's adjusted gross income. In 2014, the IRS reported the percentages of total returns by adjusted gross income categories and the examination coverage (%) of returns within the given income category:21
209
Income ($) | Returns filed (%) | Examination coverage (%) |
---|---|---|
None | 2.08 | 6.04 |
1 under 25K | 39.91 | 1.00 |
25K under 50K | 23.55 | 0.62 |
50K under 75K | 13.02 | 0.60 |
75K under 100K | 8.12 | 0.58 |
100K under 200K | 10.10 | 0.77 |
200K under 500K | 2.60 | 2.06 |
500K under 1MM | 0.41 | 3.79 |
1MM under 5MM | 0.19 | 9.02 |
5MM under 10MM | 0.01 | 15.98 |
10MM or more | 0.01 | 24.16 |