Question about Taxes and IRS

[Redhot_man]

I am curious about how the IRS goes about its business? Does it check your bank balance and transactions and then make decisions based on your reportings to decide is it wishes to pursue you? For instance, a perosn who has 100,000 in the bank and only reported 30,000 income would be suspisous or is it all based on what is written on your tax slips?

[Cubswin]

Avoid transaction over $3000...this is the magic number.

[Kurn, son of Mogh]

The IRS targets specific income types for audits, but for the most part audits taxpayers at random.