Abstract: A system and method for providing a likelihood of auditing a tax return is disclosed. A population of potential solutions of transaction sequences and/or audit score sheets is initialized. Each potential solution in the population is evaluated and assigned an objective score. A subset of the population is selected, preferably a subset with an objective score meeting a predefined criteria. The elected subset is varied using Darwinian concepts, and the previous population is replaced with the new, varied population.

Abstract: A method includes mapping a first subset of integers to a plurality of transaction sequences, mapping a second subset of integers to a plurality of audit score sheets and quantitatively analyzing each respective one of the mapped transaction sequences relative to each respective one of the mapped audit score sheets to determine an objective score for each one of the transaction sequences and each one of the audit score sheets. The objective score for each one of the mapped transaction sequences is a function of an estimated tax liability and likelihood of being audited associated with that mapped transaction sequence. The objective score for each one of the mapped audit score sheets is a function of an estimated effectiveness associated with that audit score sheet. The method further includes generating a new population of effective transaction sequences and/or effective auditing policies based on the objective scores.