[arbie]

The Automated Under-Reporter program does this on-the-fly with no recurring cost, and provides corroborating evidence to the auditor. In fact, an analysis of AUR showed that the IRS is too-lenient in prosecuting claims with automatically-trawled evidence!

https://www.treasury.gov/tigta/auditreports/2015reports/2015...

[patio11]

The Automated Under-Reporter Program is not a "sufficiently advanced compiler" for tax returns. It does simple match: did your brokerage account say you made $30k in dividends on a 1099-DIV to the IRS last year? Cool. Do you show a line item which matches $30k in dividend income on your 1040? No? Add an item to a work queue.

It doesn't (and can't) divine "Did the expense on this business return factually happen? Was it for the operation of the business? Is it standard and ordinary?"