How to Resolve a Tax Dispute with the IRS
If you disagree with the IRS about a decision they have made regarding your tax return, you may assume that you do not have any chance of resolving it in your favor. Well, as it turns out, you may have a better chance than you might think – especially if you follow some basic tips and strategy. Here is how we suggest you resolve a tax dispute with the IRS:
1. Do Not Panic: A dispute with the IRS can cause significant anxiety and stress, but it does not have to. Of course, you already have a full plate before having to worry about a potential tax dispute. Recognize that a tax dispute is very often resolved in writing, without a face-to-face meeting.
2. Read Carefully and Respond Quickly: Generally, the best first step if you receive a notice or letter from the IRS disputing a part of your tax return is to take time to read the entire notice, taking note of the action requested, date requested and information that is requested. Many disputes with the IRS can be resolved with very little effort if you follow the directions outlined in the notice. If you disagree with the notice, pull together any/all supporting documentation that you have (receipts, tax forms, etc.) and respond in writing by the deadline listed in the correspondence.
3. Appeal: If you do not agree with a decision or ruling made by the IRS, you have the right to appeal. You can appeal the results of an audit or a change made to an offer in compromise in which the IRS has increased the penalties and fees associated with your payment. Appeals can be complicated and you may need professional assistance to manage this process.
4. Support of a Tax Professional: If you are not comfortable communicating your dispute with the IRS yourself, you may want to enlist the help of a tax firm. Professional tax firms have years of experience communicating directly with the IRS on behalf of clients. Tax firms can help you with effective communication and they can go over your tax documents and help you formulate the best possible argument to support your position.
5. Taxpayer Advocate Service: The Taxpayer Advocate Service (TAS) has an office in every state and can be a resource for individuals seeking help with a tax dispute. This service is generally best suited for taxpayers who are experiencing a financial hardship and have already tried repeatedly to resolve their tax issue without success. The TAS in your state is committed to providing professional and courteous communication.
Contact Success Tax Relief
Success Tax Relief is a full service tax firm that has been helping clients all over the country for more than 30 years. If you have received a notice from the IRS that you do not agree with, do not spend time worrying about what you should do. Instead, call our tax professionals and let us help you draft your response to the IRS. We can give you the best possible chance at a positive resolution. Contact us today to get started.