Received a Notice or Letter from the IRS: What Now?
Getting a letter or notice from the IRS can feel alarming, but it doesn't always mean you're in trouble. The IRS sends notices for many reasons—from simple clarifications to tax balances owed or potential audits.
Why Does the IRS Send Notices?
IRS notices serve to:
- Inform you of issues or changes to your tax return
- Request additional information or documentation
- Notify you about unpaid taxes, penalties, or interest
- Alert you to potential identity verification needs or suspected fraud
- Initiate an audit or examination
Common Types of IRS Notices
- Balance Due Notices: Such as CP14 or CP501, informing you of unpaid taxes
- Math Error Notices: CP11 or CP12 correcting errors or adjustments
- Income Mismatch Notices: CP2000 indicating differences between your reported income and IRS records
- Identity Verification Letters: 5071C or CP05, requiring you to confirm your identity
- Audit Notices: Informing you that your return is under review
How to Respond to IRS Notices: Step-by-Step Guide
Step 1: Read the Notice Carefully
Every IRS notice includes a reason for contact, what they want you to do, and a deadline for response.
Step 2: Verify the Information
Cross-check the IRS's claims with your tax return and records.
Step 3: Take Action Within the Deadline
Most notices require a response within 30 to 60 days.
Step 4: Respond Appropriately
- If you agree with the notice, follow instructions to pay or comply
- If you disagree, gather evidence and respond with a clear explanation
- For identity verification, use official IRS channels only
Step 5: Keep Records
Keep copies of all notices and your responses.
When to Seek Professional Help
- The notice involves a large amount of money
- You are unsure about how to respond or dispute
- You receive an audit or collection notice
- You suspect identity theft or fraud
Related Topics to Learn More
- How to handle CP2000 and tax deficiency notices
- What to do if facing an audit
- Identity verification and fraud protection
KARME Tax Services Can Help You Navigate IRS Notices and Letters
IRS letters can be confusing and stressful. At KARME Tax Services, we:
- Review IRS correspondence with you
- Help prepare accurate and timely responses
- Represent you before the IRS to resolve disputes
- Protect your rights and minimize penalties
Call KARME at 972-519-0041 or schedule your consultation online today.
