Which agency is responsible for auditing a business's record keeping?

The Internal Revenue Service (IRS) is the agency responsible for auditing a business's record keeping, particularly in relation to tax compliance. The IRS ensures that businesses accurately report their income, expenses, and tax liabilities, which requires meticulous record keeping to substantiate claims on tax returns. This agency conducts audits to verify that the financial records align with the information submitted to them, checking for discrepancies, inaccuracies, or potential tax violations.

Other agencies serve different functions that do not specifically pertain to auditing business records in the context of tax compliance. For instance, the Securities and Exchange Commission (SEC) oversees securities markets and protects investors by enforcing securities laws but does not perform general audits of business record keeping for tax purposes. The Food and Drug Administration (FDA) regulates food, pharmaceuticals, and medical devices to ensure safety and efficacy but does not audit financial records. The Environmental Protection Agency (EPA) focuses on protecting human health and the environment, which involves compliance audits related to environmental regulations rather than financial record keeping.