AUDIT STATISTICS

Source- Internal Revenue Service
Forms 1040, 1040A, 1040EZ Percent audited in Fiscal 1996
Income of $25,000 to under $50,000 0.95
$50,000 to under $100,000 1.16
$100,000 and over 2.85
Schedule C (Sole Proprietorships)
Gross receipts under $25,000 4.21
$25,000 to under $100,000 2.85
$100,000 and over 4.09
Estate Tax Returns
Gross Estate under $1,000,000 7.85
$1 million to under $5 million 21.42
Over $5 million 49.33


IRS AUDITS ARE GOING DOWN: Expected 1998- 1.09%, down from 1.27% in 1997 and 1.67% in 1995 and 1996.