Small Business can audit proof their tax return

[AZ-Tax]

Here is the link to the article.

The article says small business owners increases their chances of being audit if they DIY their small business tax return which I assume includes Sch C.

"Rethink your legal form. Corporations, LLCs, and partnerships are less likely to be audited. But that should not be the sole reason to incorporate. Discuss this option with a tax professional and your attorney before deciding". This line is a little confusing especially for a single member LLC that has the option to file a Sch C.

http://smallbusiness.foxbusiness.com/finance-accounting/2012/08/31/how-small-business-owners-can-audit-proof-their-tax-return/#ixzz25nGcDLMb

[Uncle Sam]

Small Business - Audit Proof Returns

I noticed in the article it was not mentioned to keep a separate and distinct
bank account for the business vs. personal bank account.

That's where a number of small business owners open up their personal living
records to IRS scrutiny where it isn't necessary.

Keeping a good internal control over the income side of business records also
helps in the process of adding credibility to the documentation of business
expenses.

As far as documenting auto expenses - I've used www.aaa.com to document
distance for mileage computations that have been accepted.

And there is no absolute fool-proof method to audit proof a return - If IRS wants
to audit certain specific elements of a return, they'll pick it up for audit regardless
of how much you document.