What Happens After an IRS Civil Tax Audit in New York?

January 13, 2026

What Happens After an IRS Civil Tax Audit in New York?

An IRS civil tax audit can feel overwhelming — especially once it concludes and you’re left waiting for the outcome. For individuals and businesses in New York, understanding what happens next is critical to protecting your finances and avoiding further complications.


At Auerbach Law Group, P.C., we assist clients throughout every stage of the civil tax audit process and beyond. Whether the IRS finds no issues or determines additional taxes are owed, our firm works to guide clients toward effective resolutions.


IRS Civil Tax Audit Results You May Receive

After completing its review, the IRS will issue a determination. The outcome typically falls into one of the following categories.


No-Change Audit Result

A no-change result means the IRS accepts your tax return as filed. No additional taxes, penalties, or interest are assessed. While this is the most favorable outcome, it is still important to retain all records in case of future IRS inquiries.


Agreed Audit Adjustments

If the IRS identifies errors and you agree with the findings, you may be required to pay additional taxes, interest, and civil penalties. In these situations, Auerbach Law Group, P.C. helps clients evaluate their obligations and determine whether payment arrangements or relief options may be available.


Unagreed Audit Adjustments

If you disagree with the IRS’s conclusions, you have the right to challenge the results. This may involve filing an appeal, requesting further review, or preparing for tax court proceedings. Legal representation can be critical when disputing audit findings and protecting your rights.


IRS Notices After a Civil Tax Audit

Once the audit is complete, the IRS will send a formal notice outlining its findings. These notices often include the amount owed, deadlines to respond, and instructions for appeal or payment. Ignoring IRS correspondence can lead to serious financial consequences.


Auerbach Law Group, P.C. reviews IRS notices on behalf of clients and provides clear guidance on the appropriate next steps.


Your Options After an IRS Civil Tax Audit

Paying the Balance Owed

If additional taxes are assessed, you may be able to pay the balance in full or request an installment agreement. In certain cases, alternative payment solutions may be available depending on your financial circumstances. Our firm assists clients in pursuing manageable arrangements with the IRS.


Appealing IRS Audit Findings

Taxpayers who believe the IRS made an error can appeal the audit decision. The appeals process requires strict deadlines, proper documentation, and well-prepared arguments. Auerbach Law Group, P.C. represents clients throughout the appeals process and communicates directly with the IRS on their behalf.


Civil Tax Penalties and Interest

Penalties and interest often increase the amount owed after an audit. In some cases, penalty relief may be available if you can show reasonable cause for the issue. Our attorneys assess whether penalty reduction or abatement may apply and handle the necessary requests with the IRS.


What Happens If the IRS Begins Collection Actions?

If taxes remain unresolved, the IRS may initiate collection actions such as wage garnishment, bank levies, or federal tax liens. Acting early can help prevent or stop these actions. Auerbach Law Group, P.C. assists New York taxpayers in addressing IRS collection activity before it escalates.


Why Choose Auerbach Law Group, P.C. After an IRS Audit?

Post-audit tax matters are often complex and time-sensitive. Our firm provides personalized legal guidance, explains IRS determinations in clear terms, and works to protect our clients’ financial interests. Based in New York, Auerbach Law Group, P.C. understands the challenges taxpayers face when dealing with federal tax authorities.


Contact Auerbach Law Group, P.C. Today

If you have completed an IRS civil tax audit and are unsure what comes next, legal guidance can make all the difference.


📞 Call Auerbach Law Group, P.C. at 914-996-6624 to discuss your situation and learn how we can help you move forward with confidence.

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