Making it through an IRS tax audit

NEW YORK (CNNMoney.com) -- When it comes to taxes, you may think you're off the hook until next year, but think again: the IRS has just ramped up its campaign of random tax audits. Gerri explains what to do if you're picked by the agency for an audit.

Starting in October, the IRS will begin reviewing 13,000 income-tax returns from the 2006 tax year, and similar audits will be conducted over the next three years. If you get a letter from the IRS, don't ignore it. Eventually, you're probably going to have to sit down with an IRS examiner.

Of course, the tax law can be complex, so make sure you have someone on your side of the table. Hire an accountant, lawyer or enrolled agent. A professional will speak the same language as the IRS and won't get as emotional or defensive as you.

Do as much as you can ahead of time. If you take the time to sift through and organize your own pay stubs, bank and credit card statements, and expense receipts, you'll save some money.

Don't neglect this, because if you can't support your deductions, or if you under-reported your income, expect to pay up; and if you can't find all the necessary paperwork, you should be able to get duplicate copies from your bank, credit card company, and the companies that you did business with. But remember: never give the IRS your only copy of a document.

Finally, stay calm. Remember that these audits are completely random, and Bruce Friedland, an IRS spokesman, assures us that just because you've been selected doesn't mean the agency suspects you of wrongdoing.

Still, don't let your guard down. Don't sign anything unless you know exactly what it is, and make sure to get a copy of it. Of course, you do have rights. If you don't agree with an audit decision, you can take it to the Office of Appeals or tax court.