4 IRS Audit Red Flags Short on personnel and funding, the IRS audits less than 1% of all individual tax returns annually. We expect the audit rate to fall even lower as resources continue to shrink and even more employees are reassigned to identity theft cases. - See more at: http://www.mytaxfiler.com/blog/4-irs-audit-red-flags/#sthash.grPnT6TW.dpuf in Public bookmarkswith auditauditscorrespondence---auditflagsirsredtaxtriggersvirtual