The IRS promises the audits won't be as brutal as before.  About 50,000 random exams will be performed starting this fall and the data will be used to update IRS audit selection formulas.  About 1/3 of the exams will consist of the IRS asking by mail about an item or by IRS checking data it has on file against what was reported.  Most of the remaining audits will deal with selected portions of returns.  IRS will do 2,000 line-by-line exams, but with less strict documentations.

Source: Kiplinger Tax Letter
        January 18, 2002