HTML Export

Responding to IRS Tax Notices

Copy and paste this into your website, blog, or anywhere that accepts raw HTML.
<h1>Responding to IRS Tax Notices</h1>
<p>This playbook describes a step-by-step process for responding to IRS tax notices, with guidance on understanding and acting upon different types of notifications.</p>

<h3>Step 1: Identify Notice</h3>
<p>Carefully read and identify the type of IRS notice or letter you have received. The upper right-hand corner will typically have a notice or letter number, which indicates the specific issue the IRS is addressing.</p>

<h3>Step 2: Understand Content</h3>
<p>Understand the content and what the IRS is requesting or informing you of. This could range from a simple notification of changes to your account, a request for payment, a request for additional information, or a notification of an audit.</p>

<h3>Step 3: Review Information</h3>
<p>Review the tax return in question. Compare your records with the information in the IRS notice to verify its accuracy or note any discrepancies.</p>

<h3>Step 4: Prepare Response</h3>
<p>Prepare your response, if necessary. This may include drafting a letter for clarifications, gathering documentation to support your case, or rectifying any mistakes with an amended return.</p>

<h3>Step 5: Seek Assistance</h3>
<p>If you’re unsure about the content of the notice or how to respond, seek professional tax advice from an accountant or tax attorney.</p>

<h3>Step 6: Respond Timely</h3>
<p>Act promptly and respond to the notice by the deadline provided. Include copies of any documentation requested, and retain a copy of your correspondence for your records.</p>

<h3>Step 7: Address Payment</h3>
<p>If the notice includes a payment request and you agree with the amount owed, arrange for payment. If you are unable to pay in full, contact the IRS to discuss payment options.</p>

<h3>Step 8: Document Actions</h3>
<p>Document all actions taken in response to the IRS notice, including phone calls, letters sent, and any additional filings. Keep these records organized with your tax documents.</p>

<h3>Step 9: Follow up</h3>
<p>Monitor for additional communications from the IRS to confirm resolution. If you sent a response, ensure you receive acknowledgment from the IRS, which could take several weeks.</p>

<h2>General Notes</h2>

<h3>Notice Types</h3>
<p>Certain IRS notice numbers correlate with common issues, such as CP2000 for proposed changes due to mismatched income reporting, or CP501 reminding you of a balance due.</p>

<h3>Avoid Scams</h3>
<p>Beware of scams impersonating the IRS. The IRS typically contacts individuals through mail and not via email, phone, or social media unless you initiated the contact.</p>

<h3>Deadlines Matter</h3>
<p>Ensure you understand any deadlines referenced in the IRS notice. Missing a deadline could result in additional penalties, interest, or enforcement actions such as liens or levies.</p>

<h3>IRS Contact Information</h3>
<p>If you need to contact the IRS, use the contact information provided on the IRS notice, which usually includes a phone number and the hours it is staffed.</p>