Receiving a notice from the IRS can be a nerve-wracking experience. First and foremost, take a deep breath and try not to worry – you’re not alone. There are steps you can take to address the situation effectively whether you try to navigate the situation on your own or decide to hire an experienced tax professional to communicate directly with the IRS to help solve your tax problems.
Depending on the type of notice, it may be delivered by United States mail via regular post, or by Certified Mail to confirm receipt. Regardless of how the notice was received, be sure to read the notice carefully. The IRS sends notices for various reasons, ranging from a change in your account, informing you of a balance due, or requesting additional information. Understanding the specific reason for the notice you received is crucial and will help determine what needs to happen next.
After reading the notice, check the details to ensure the information is accurate. Mistakes can happen, even the IRS can make mistakes, and if you believe there is an error you generally have the right to dispute it.
Depending on the type of notice you receive, it will provide specific information about the various options to respond or to dispute any details contained in the notice. If the notice provides appeal rights, it is important to be aware of the relevant deadline to submit your request. Many appeal rights are only available for a certain amount of time and once the deadline passes, the IRS can take further action and resolving the problems can require more work.
If you receive a balance due notice, it will advise you of the amount due and the payment date. If you can pay and do not dispute the balance, it is best to send in your payment as failure to pay by the due date will likely result in additional penalties and interest, which would increase the overall balance. However, if you cannot pay the balance shown on the notice by the payment due date that does not mean you are out of options. The IRS offers a variety of options to get you back on track and the right option for you will depend on your specific circumstances as with some negotiation they can generally be tailored to your needs as much as possible. Just because the IRS says that you must resolve your balance a certain way does not necessarily mean that it is the only way to take care of it.
The worst thing you can do is ignore the notice. The IRS has well established rules, regulations, and processes for compelling payment. The notices they send out about tax problems become increasingly more serious and threatening if they do not receive responses to the earlier notices.
The Taxpayer Bill of Rights says that taxpayers have the right to retain representation to represent them in their IRS matters. If you feel overwhelmed, confused, or frustrated, reach out to a tax professional experienced in helping people with their tax problems and negotiating resolutions with the IRS.
For help responding to IRS notices and negotiating a resolution for your tax problem, contact the tax team at the Business Law Group. Our team is ready to help you by taking the burden of dealing with the IRS and helping you navigate your tax problem to find a resolution tailored to your situation. Call us at (719) 355-8840 or email info@businesslawgroup.us to get started today.
