Large companies still run the gratest risk of being audited. But their audit risk has declined in recent years, while the risk for smaller firms has risen dramatically.


Percentage of Corporations Audited, by Size of Assets*
1986 1987 1988 1989
Less than $50,000 0.7 0.5 0.5 1.0

$50,000 to $99,999 1.4 0.9 0.8 1.8

$100,000 to $249,999 1.4 0.9 0.9 1.7

$250,000 to $499,999 1.5 0.9 0.8 1.7

$500,000 to $999,999 2.0 1.4 1.1 1.7

$1 million to $4,999,999 5.1 3.4 2.6 2.8

$5 million to $9,999,999 13.9 9.1 7.6 9.4

$10 million to $49,999,999 25.9 18.8 16.1 17.2

$50 million to $99,999,999 47.6 42.9 31.3 30.3

$100 million to $249,999,999 71.1 63.3 43.8 41.8

$250 million and greater 78.1 74.9 63.7 64.2

* Assets as shown on balance sheets.

Source: Internal Revenue Service

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