Byline: Joan Pryde

Small business owners should brace for more audits by the Internal Revenue Service on several fronts. It has been no secret that the IRS is conducting more examinations of small businesses because it thinks they are a big reason for the tax gap -- the difference between what people pay in taxes and what the government is owed. But now, the agency is sending broader signals about what its agents are going after.

Here are some of the major targets for this year and beyond.

Worker classification. Firms are headed for an employment tax audit if IRS believes they're treating workers as independent contractors when they are really employees. One big ...

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