If you file your taxes and reports diligently and on time, you probably don’t expect to hear back from the IRS. But what if you do receive a notice? Rule one: don’t panic! Follow these tips on understanding and handling the unexpected notice.
Is this really from the IRS or is it spam?
The IRS does not initiate correspondence with taxpayers to request personal information through unsolicited email, texting or social media channels. Take a look at these guidelines and phishing reporting procedures to know what to do. Most often, the IRS communicates through written letters. If you are unsure you can also call the IRS directly.
Why is the IRS contacting me? Did I do something wrong?
There are many reasons the IRS might need to contact you. Although many letters are sent to request payment, there may be a simpler issue like changes or corrections to your account. Each notice the IRS sends has a specific purpose – you can look up the notice number here if you need. Many notices can be resolved quickly and easily without the need to call the IRS.
What do I do with this?
Take a look at the notice. There will be specific instructions for you to follow, and if you are confused you can call the IRS directly. Read it carefully and compare it to your tax return, if applicable.
Can I just handle this tomorrow?
Although there may be a deadline on the letter, I highly advise you to take care the issue as soon as possible! Issues with the IRS never resolve themselves, and delayed or non-compliance with the IRS will only cause more frustration and consequences, and perhaps additional penalties and interest as well.
I responded and took care of the issue. Can I throw this away now?
Good record keeping is essential in many areas of business – and it’s important to keep a record of all information sent and received. Keep a detailed record of all notices and correspondence, and file it with your tax return.
Wait! I still have questions!
No worries! Here are some resources to help you:
- Understanding your IRS Notice: http://www.irs.gov/Individuals/Understanding-Your-IRS-Notice-or-Letter?utm_medium=email&utm_source=govdelivery
- Publication 594, The IRS Collection Process: http://www.irs.gov/pub/irs-pdf/p594.pdf
- Publication 17, Your Federal Income Tax: http://www.irs.gov/uac/Publication-17,-Your-Federal-Income-Tax-1
Of course, if you are our client and we handle the aspect for which you are receiving the notice, send it to us to research. We’ll let you know what we find out!
