(2006)First time filing taxes, need some help?

self employed here, this is my first line of work & my first tax return, I was late because back when I first got this job I had no idea of how the taxes worked. Anyways, I took out home office expenses, using schedule c & a few other expenses relating to utilities and rent. I find them to be pretty reasonable, in any case does this increase my chance for an audit significantly if say I only earned 10k in the tax year. I also read the IRS wasn't very reasonable when it comes to negotiating penalty's and fees but the note i recieved from them says they will waive the fees if they find you have shown good faith. I paid the taxes in full, does that count as good faith? Anyways Thanks in advance to everyone

If you paid the tax then that does show good faith. You will have to show receipts for your deductions if you get audited though. In future spend the money and have your taxes prepared by a trained professional. That will help you avoid hassles like this down the road. You can get computer software that does a great job keeping track of everything, like Quickbooks or MYOB. They can do things like income and expense tracking, financial analysis, and generate reports.