IRS Audit Statistics: Audit Rates and Chances of Being Selected (2025 Updates)

Generally, the IRS audits one out of every 200 returns, creating an effective audit rate of 0.5%. But that doesn't mean your chances of being selected are necessarily that low (or even that high) – taxpayers with income over $1 million or less than zero are audited at much higher rates than the general public, and businesses (corporations, in particular) face very high audit rates. 

Although some audits are random, the majority of returns are selected due to discrepancies with the returns and other information received by the IRS or red flags indicating certain types of issues. Let's dig into the numbers and look at what you can do to minimize your risk. 

The IRS compiles data books every two years – at the time of writing, the most recent numbers are from the Internal Revenue Service Data Book, 2024, which was released in May 2025.

Key takeaways

• Audit rates – the overall IRS audit rate is 1/200 returns or 0.5%.
• Individual and corporate returns are audited at higher rates than partnership and S-Corp returns.
• Individual tax returns with income under $25,000 or over $500,000 face higher audit rates than average. 
• The majority of audits lead to changes and an increase in tax liability.
• If you're selected for an audit, reach out to a tax professional for help. 

Audit Rates on Individual Tax Returns 2020 to 2022

Every year, there are about 160,000 individual tax returns filed. In years 2020 and 2021, nearly 500,000 returns were audited for a rate of 0.3%. In 2022, only about 325,000 returns were audited with a rate of 0.2%. 

 

As you can see, these numbers tend to stay relatively consistent from year to year – they represent your overall audit risk. However, as the IRS audits more returns in 2025 and moving forward, some of these numbers are likely to increase. For instance, say the agency selects a 2023 return for audit. If they see certain issues, they may also decide to audit the taxpayer's 2022 and 2021 returns. 

Generally, the agency only has three years to audit a return, but if they see signs of fraud or significant income understatement in the previous years, they may go back six years – in fact, in cases of civil fraud, they can go back even further. 

By extension, if you look at these rates in a year or two, you may see a slight increase in the audit rate for each year – but it won't be drastic. 

However, at this point, you may be wondering – if the overall audit rate is 0.5%, why are these numbers so much lower? That's because audit rates tend to get a lot higher when you take income into account.

IRS Audit Rates Based on the Type of Return

Different types of returns get audited at higher rates than other types of returns. Typically, individual and C-corp returns get audited at the highest rates, with an average of .2% (the equivalent of one audit for every 500 returns filed). Partnership and S-Corp returns are audited at lower rates – less than 0.05% in both situations, which shakes out to about 2 or 3 returns out of every 10,000 returns filed.

As you can see, on average, audits can lead to a significant increase in the tax liability overall. However, you need to keep in mind that those numbers are average – while some returns may only have a small increase in tax liability, others may have hundreds of thousands of dollars in tax liability plus audit penalties.

Also, you may face audit penalties, which may include penalties based on not reporting income on time or civil fraud penalties.

IRS Individual Audit Rates Based on Income Level

When you look at audit rates based on income reported, that's when you really start to see higher audit rates. Let's take a look at the audit rates for fiscal year 2024. 

Individual returns with income under $25,000 get audited at higher rates than average – no-income returns face an audit rate of 3 returns per 1000 filed, while returns with between $1 and $24,999 have a rate of 4 per 1000 filed. In the $25,000 to $49,999 range, the audit rate is 2 returns per 1000 filed. 

Then, the rate drops to 0.1% for returns showing between $50,000 and $499,999 – again, that's 1 per 1000 returns. After that, you see a significant jump. Taxpayers with over $500,000 in income are audited at a rate of 0.6% or 6 per 1000. Between $1 and $5 million, the rate is 1.1% or 11 per 1000 returns. The rate is 3.1% for returns showing in $5 million and $10 million – that's 31 audits per 1000 returns (or 3 for every 100 returns filed). 

If your income is over $10 million or if you're in another group with high audit rates, there's not a lot you can do to reduce the risk – but you should check out these tips on how to avoid audit triggers.

FAQs – Audit Statistics

Have more questions about audit stats? Or wondering if you're at risk? Here are some key questions to consider.

What are the chances I’ll get audited?

Your overall risk of being audited is 0.5% or 1 out of every 200. However, that varies substantially based on the amount of income you report. Also, corporate income tax returns often get audited at higher rates than individual tax returns.

How do audit rates vary by income?

Individuals with income from $50,000 to $500,000 face an audit rate of about 0.1% or 1 return per every 1000 filed. Individuals with income under $25,000 are audited at a rate of 0.4% or 4 per thousand, while those with no income see a rate of 3 per 1000, and those between $25,000 and $50,000 are audited at the average rate of 0.2%. 

Individual returns with income over $500,000 have much higher audit rates – 0.6% for $500,000 to $1 million, 1.1% for $1 to $5 million, 3.1% for $5 to $10 million, and 4% for over $10 million. 

Which type of audits are the most common?

Correspondence audits are the most common – that's when the IRS sends you information requests and you mail back what they want to see. In 2024, 77.9% of audits were conducted through the mail, while 22.1% were done in person (aka field audits).

When does the IRS decide to do field audits?

Field audits tend to be more common for business audits and/or for high-income earners. Case and point, in 2024, field audits generated $23 billion in tax revenue, while correspondence audits only generated $6 billion in revenue. Those numbers are stunning when you consider that there are about four times as many correspondence audits as field audits. 

What does the IRS audit tax returns?

The IRS audits returns to find unpaid taxes. In 2024, the agency assessed $29 billion in additional tax through audits.

Are there audit risks not captured in official data?

Yes, the official data only breaks out audit rates by income level and type of return. It does not give any insights into the red flags that caused these returns to be selected for an audit. This post on audit processes outlines the various IRS computer systems and functions that scan returns for audit risks. 

Can the IRS make changes to tax returns without doing an audit?

Yes, the agency may adjust returns due to math errors or discrepancies between information reported by third parties (for example, on a 1099) and information reported on a tax return (for instance, a 1040 individual tax return). Many of these issues are corrected by the IRS's Automated Underreporter Program. In 2024, the AUP led to an additional $7.7 billion in taxes. 

How does the IRS collect taxes if you don't file?

If you don't file, the IRS will make several requests to get you to file. If you don't comply, they can issue a substitute for return. In 2024, the IRS dealt with 442,633 cases through its Automated Substitute for Return Program, which led to an additional $82 million in tax assessments.

Can audits lead to criminal charges?

In the vast majority of cases, no. However, if the auditor discovers a problem, they may refer the case to IRS Criminal Investigation. In 2024, the IRS completed 2481 criminal investigations. Most investigations lead to criminal fines and penalties.

Why won't my tax preparer answer questions about audit risks?

Although audit stats are freely available and published by the IRS, tax preparers aren't ethically allowed to talk about audit risks based on specific positions taken by a client on a tax return. That's why your preparer may not be willing to talk about your audit risk with you.

Get Audit Representation Now

Whether you're facing a 6% audit risk or just a fraction of a percentage, it pays to be prepared. When doing your return, make sure you hold onto the paperwork. That way, you can back up what you reported if you are selected for an audit. 

With some correspondence audits, you may feel comfortable answering the audit on your own. In other cases, you may prefer to get audit representation. To find audit help now, use TaxCure to look for a licensed tax professional today.