The Wall Street Journal listed 10 Red Flags that the IRS looks out for. Tax credits for children, healthcare premiums, earned income, and now pandemic related grants, loans, and credits make up a majority of their list. Other red flags are small business, especially those that are cash intensive, cryptocurrency transactions, and large charitable donations. With more people working from home, home-office deductions are being scrutinized, and with an influx in rental businesses (due to businesses like Airbnb), renal income is also under watch.
To read the complete article, click here.