How to Win an IRS Audit and Defend Your Short-Term Rentals

This guide provides a practical IRS audit defense strategy for short-term rental owners facing scrutiny over income classification, expense deductions, and material participation.

Drawing on a real-world case study, we show how proactive documentation, accurate reporting, and compliance with IRC §§ 469, 162, 167, and 195 can help reverse proposed IRS adjustments and preserve key tax benefits.