IRS Letters Help

I was searching for information on an IRS tax letter I’ve received this week and I found some very useful information on the website of Joe Mastriano CPA, here’s a interesting quote from his website at www.taxproblem.org:

Letter 3172 - Notice Of Federal Tax Lien And Right To A Hearing

You now have a real property lien in a particular county only. Just the county listed. Not all counties you own property in. I have had clients that sold all property they had in other counties and used this money to help them negotiate better payment plans. If the lien will cause a hardship, one acceptable to the IRS, then appeal it.

Letter 3174(P) - Notice Of Levy

Similar to letter 1058. Used when a taxpayer changes address. This needs immediate attention. You avoid levies by resolving the collection issues, or you appeal based on a hardship.

Letter 3173 - 3rd Party Contact

This letter advises taxpayers that the IRS may be contacting 3rd parties to ask questions. You can’t really do anything about it. Don’t worry though, your personal information will be kept confidential.

Letter 3219 - Notice Of Deficiency

Issued to a taxpayer before an assessment is made. Usually the result of an audit. If you disagree, you need to file a tax court petition within 90 days. You can file an appeal to contest it. Don’t worry, if you miss the deadline for an appeal you can usually get Appeals to take the case, by filing a tax court petition. Once accepted by the IRS legal division you can call and convince them that this is really a case to be heard by Appeals.

If you need to write IRS tax letters you should first view the other pages of our website and get well documented.

Letter 3228 - Annual Reminder Notice

This is a notice to let you know what taxes and years you owe. This is sent yearly as long as there is an unpaid balance.

Letter 3391 - 30 Day Notification Letter

The IRS says you owe for the years stated. The letter shows you what the liability is based on. Agree to it or protest. However, if you never filed the return, then file it. Use their numbers for income and expense if you feel comfortable with them. If you just want to accept their information without filing a return, ask for a signature form so you can show you signed the return they prepared. They file an SFR (substitute for return) using the 3rd party payer information they have on file. This includes the W-2’s, K-1’s, 1099’s, etc. filed under your tax ID number. Signing a return and having the IRS enter it on their system will start the SOL on collections. I have seen the IRS collect tax liabilities way beyond 10 years because the taxpayer never started the running of the collection statute. The statute starts when the taxpayer files a return that the IRS accepts.

Joe has a lot of many other IRS letters and notices explained on his website, also, if you’re getting letters from IRS, you should check out his site first and get well informed.