The Role Your Company Plays in Policing Your Tax Home

While ultimately the taxpayer is responsible for representing themselves accurately and paying the correct amount of income tax, their employer isn't completely off the hook. There is some due diligence they are responsible for when it comes to screening the existence of a tax home with their employees, especially with potentially thousands of dollars in tax-free reimbursements on the line. In all honesty, this is not much different from requesting copies of an employee's professional license and photo ID.

Tax home statements can range from a detailed account of an attempt to evaluate the employee's status to a one-sentence statement with a signature.

The latter example could be deemed as self-serving, encouraging the employee to sign off on it without serious consideration. Our extensive experience has shown us that in the case of a company audit, the IRS is often interested in the appearance of intent. Feel free to contact us to schedule a tax home consult if you feel like your tax home could be in doubt.

If there is a chance you could personally be audited, we're here to help! Check out this page to see your options.