Tax Tip #20 for Tax Professionals – What to do when a letter arrives

Getting a letter from us can be stressful for your clients. If your clients receive letters from us, follow these tips to assist them:

• Read the entire letter carefully. Most letters deal with a specific issue and provide instructions on what to do.
• Compare it with the tax return. If a letter indicates a changed or corrected tax return, review the information and compare it with the original return.
• Respond. Reply to letters requesting information or action from your clients. Also, reply to any letters you or your clients do not agree with.
• Reply timely if necessary. When a specific response date is in the letter, replying timely may minimize additional penalty and interest charges and preserve appeal rights.
• Pay. Remind your client to pay as much as they can, even if it is not the full amount. Doing so may minimize penalties and interest.
• Contact us if necessary. Be sure to have one of the following and call the number on the letter. Be prepared to offer the letter ID.      
• A valid power of attorney
• The box checked for the third party designee on your client’s return
• Your client present when calling
• Keep the letter. You and your clients should keep copies of our letters for your records.

Our goal is to help resolve issues in a helpful, timely, and efficient manner.