8/16/2021
Every year the IRS mails letters or notices for many different reasons. Typically, it’s about a specific issue with a federal tax return or tax account. A notice may tell you about changes to your account or ask for more information. It could also tell you that you need to make a payment. This year, people might have also received correspondence about Economic Impact Payments or an advance child tax credit outreach letter.
Here are some do's and don'ts for receiving mail from the IRS:
Don't ignore it. Most IRS letters and notices are about federal tax returns or tax accounts. Each notice deals with a specific issue and includes specific instructions on what to do.
Don’t throw it away. You should keep notices or letters you receive from the IRS. These include adjustment notices when an action is taken on your account, Economic Impact Payment notices, and letters about advance payments of the 2021 child tax credit. You may need to refer to these when filing your 2021 tax return in 2022. In general, the IRS suggests that you keep records for three years from the date you filed the tax return.
Don't panic. The IRS and its authorized private collection agencies do send letters by mail. Most of the time, all you need to do is read the letter carefully and take the appropriate action.
Don't reply unless instructed to do so. There is usually no need to reply to a notice unless specifically instructed to do so. On the other hand, if you owe, you should reply with a payment. The IRS has information about payment options.
Do take timely action. A notice may reference changes to your account, taxes owed, a payment request or a specific issue on a tax return. Acting timely could minimize additional interest and penalty charges.
Do review the information. If a letter is about a changed or corrected tax return, you should review the information and compare it with the original return. If you agree, you should make notes about the corrections on your personal copy of the tax return and keep it for your records.
Do respond to a disputed notice. If you don't agree with the IRS, you should mail a letter explaining why you dispute the notice. You should mail it to the address on the contact stub included with the notice. You should include information and documents for the IRS to review when considering the dispute.
Do remember there is usually no need to call the IRS. If you must contact the IRS by phone, use the number in the upper right-hand corner of the notice and have a copy of your tax return and letter ready when you call.
Do avoid scams. The IRS will never contact you by social media or text message. The first contact from the IRS usually comes in the mail. If you're unsure if you owe money to the IRS, you can view your tax account information on the IRS website.
Resources: Understanding Your IRS Notice or Letter Tax Topic 651, Notices – What to Do Tax Topic 653, IRS Notices and Bills, Penalties, and Interest Charges Tax Topic 654, Understanding Your CP75 or CP75A Notice Request for Supporting Documentation Here’s why some people got more than one notice about their Economic Impact Payments