Generally, the audit begins with a notification from the taxing authority about information relating to a specific return. That’s been file. Following that letter of notification, there’ll be a request from the taxing authority for some sort of meeting that meeting can be telephonically. It could be in office. It could be in person. Of course, the in person meetings have been substantially curtailed due to COVID, but those meetings are beginning to become more prevalent at again, as the departments begin to open up, following a meeting with the IRS, there is generally an IDR and that’s an information document request, and it can be very long and very substantial and very expansive, or it could be something, uh, short and sweet as we want to take a look at a particular type of expense that you’re declaring on your return. Following the submission of the information that’s been requested by the internal revenue service, the auditor will go back and they will take a look.

They may may request additional information and then they’ll come up to a notice of determination, which says, all right, we agree with the way that the tax return was prepared. We don’t agree with the way the tax return was prepared. And we think that there may be an additional liability or there could be no change. So the steps are really the notice, the notification, the meeting, the request for information, the production of the information, the notice of determination, which then leads to the additional liability, or perhaps a no change audit decision. If there is an additional audit or if there is an additional liability, then there is the chance for appeal for that particular audit, cuz you get a, a detrimental notice of determination doesn’t mean that the end is near. It means that we are about three quarters of the way through the process, which next includes both the appeal and potentially going to court.