Receiving an IRS notice doesn't have to mean panic. Here's your step-by-step guide to responding correctly and protecting your rights.
1. Read the Notice Carefully
A notice may just be a simple adjustment to your return, a request for more information, or a notification of a balance due. Not all notices are an audit. Pay close attention to the instructions and whatever deadlines are stated.
2. Gather Your Records
Collect a copy of the tax return in question along with any supporting documentation (W-2s, 1099s, expense receipts) related to the issue discussed in the notice.
3. Do Not Ignore It
Ignoring an IRS notice will not make it go away. It will likely lead to compounding penalties, interest, and the aggressive collection measures such as wage garnishments or bank levies.
4. Seek Professional Help
If you disagree with the notice, or if the notice is complex (especially cases involving underreported income or large discrepancies), contact a tax professional. Apogee Accounting Solutions offers representation and resolution, meaning you will not have to interact with the IRS directly.