Sources & Citations
Every statistic on our website is backed by data from major news organizations, official IRS publications, and nonpartisan research institutions. Here are the sources for the claims we make.
Claims We Make
- 1Only ~0.4% of taxpayers get audited each year — the lowest rate since at least 1950
- 2Audit protection plans cost $50+/year — yet 99.6% of buyers will never use them
- 3~85% of IRS audits are handled entirely by mail — exactly what AuditAlly helps with
The New York Times
1 citation
“Audit rates between 2020 and 2023 — all under 0.5% — were lower than any published audit rate since at least 1950.”Supports: 0.4% audit rate claim
CNN Business
2 citations
“Only 0.44% of individual returns and 0.74% of corporate returns were audited as of the end of fiscal year 2023.”Supports: 0.4% audit rate claim
“78% of audits are conducted by mail, compared to only 22% conducted in person — and the percentage has risen since.”Supports: 85% mail audit claim
CNBC
2 citations
“The IRS audited only 3.8 out of every 1,000 income returns (0.38%) in 2022.”Supports: 0.4% audit rate claim
“The agency's budget decreased by more than 20% between 2010 and 2019 when adjusted for inflation, leading to a 22% reduction in staff.”Supports: Declining audit rates trend
ProPublica
1 citation
“An investigative audit found tax preparation companies charged millions of Americans for services — including audit protection — that should have been free.”Supports: $50+/year audit protection cost claim
IRS Taxpayer Advocate Service
1 citation
“More than 70 percent of all audits conducted by the IRS are correspondence audits — conducted entirely by mail.”Supports: 85% mail audit claim
IRS Data Book (Official)
2 citations
“The official IRS statistical publication reporting examination coverage rates, number of returns filed, and audit activity across all return types.”Supports: All audit rate statistics
“Detailed breakdown of audits by type (correspondence vs. field) and size of return, including recommended additional tax amounts.”Supports: Correspondence vs. field audit breakdown
Tax Policy Center (Brookings/Urban)
1 citation
“The audit rate for individual income tax returns fell by two-thirds between 2011 and 2018, from 0.9% to 0.3%. About 153.9 million returns were filed with only ~520,000 audited.”Supports: 0.4% audit rate claim, historical trend
Tax Project Institute
1 citation
“In fiscal year 2022, 85% of IRS audits were correspondence audits (626,000 individuals). Field audits averaged $85,000 in recommended additional tax vs. $6,000 for mail audits.”Supports: 85% mail audit claim, 626K total audits
TurboTax (Official)
1 citation
“TurboTax MAX with Audit Defense costs $40–$69 depending on edition, providing full IRS representation during audits.”Supports: $50+/year audit protection cost claim
Our Methodology
We only cite statistics from official government sources (IRS Data Book, Taxpayer Advocate Service), major news organizations (The New York Times, CNN, CNBC, ProPublica), and nonpartisan research institutions (Tax Policy Center — a joint venture of the Brookings Institution and Urban Institute).
Pricing data for audit protection plans comes directly from the companies' own websites (TurboTax official pricing page) and investigative journalism (ProPublica).
Where statistics span multiple years (e.g., the correspondence audit percentage has been reported as 70–85% across different fiscal years), we cite the most recent available data and note the range.
If you believe any statistic on our website is inaccurate or outdated, please let us know through feedback.