Tax Tip Tuesday: What to Do If You Receive an IRS Letter

Getting mail from the IRS can feel intimidating—but don’t panic. Most IRS letters are routine, and many simply require a response or clarification. The key is to stay calm, read the notice carefully, and respond appropriately.

Here’s what to do if the IRS contacts you by mail:

1. Read the Letter Thoroughly

The IRS will always include the reason for the notice in the body of the letter. It may be about:

• A balance due

• A missing or incorrect form

• Verification of income or identity

• A delay in processing your return

The letter will contain a notice or letter number in the top right corner (e.g., CP2000, LT11), which helps identify the nature of the issue.

2. Check for Errors or Discrepancies

Compare the IRS’s information with your tax return or documents. If the IRS says you underreported income, double-check your W-2s, 1099s, and other records.

3. Don’t Ignore It

Even if the letter seems minor, not responding can lead to penalties, interest, or enforcement action. Most notices have a required response deadline—mark it on your calendar and act quickly.

4. Call vs. Write: How to Know Which to Do

Here’s how to decide whether to call or write the IRS:

Call the IRS when:

• The notice includes a phone number and requests a call

• You need to clarify a small issue quickly

• You want to request a temporary delay or extension

• You need to confirm receipt of documents you already sent

• You’re verifying identity (e.g., responding to Letter 5071C or 4883C)

Write to the IRS when:

• The notice requests documents or a written explanation

• You disagree with a proposed change and want to formally respond (e.g., CP2000, CP3219A)

• You’re submitting supporting documentation (e.g., missing Form 1095-A or a corrected W-2)

• You need a paper trail for future reference

• You're responding to an audit or examination notice

Always include your name, last four digits of your Social Security Number (SSN), tax year, and the notice/letter number in any written correspondence. Send your letter by certified mail for tracking purposes.

5. Keep a Copy for Your Records

Always keep a copy of any IRS correspondence along with any supporting documentation and your response. This is important for audit protection and tracking.

6. Reach Out for Help

If you’re unsure how to respond—or if the notice involves a proposed change to your return or back taxes—contact a tax professional. At MKHS Tax Group, we help clients interpret IRS notices, draft responses, and resolve tax issues efficiently.

Common IRS Letters You Might See

Notice/Letter	Reason
CP2000	Proposed changes due to unreported income (e.g., 1099s or W-2s that don’t match your return)
CP504	Urgent reminder about an unpaid tax debt—intent to levy assets if unresolved
LT11 / Letter 1058	Final Notice of Intent to Levy and Notice of Your Right to a Hearing
CP3219A	Statutory Notice of Deficiency—IRS is proposing a tax increase
CP14	Balance due on your account
CP01A / CP01B	Identity Protection PIN assigned (usually after ID theft has occurred)
4883C / 5071C	Request to verify your identity
Letter 4464C	Your return is being reviewed—no immediate action required
Letter 12C	Request for missing forms or schedules
Letter 525	Audit notification with examination report enclosed
Letter 3219N	Statutory Notice of Deficiency—nonresident alien cases
Letter 226-J	Potential Employer Shared Responsibility Payment under the ACA (for businesses)

Don’t ignore IRS letters. Most issues can be resolved quickly with the right documentation and guidance. If you’re not sure how to handle your IRS notice, we’re here to help. Reach out to us at info@mkhstaxgroup.com.