Receiving a notice from the IRS can be worrying.

Being contacted by the IRS can be intimidating and stressful. Not only will you need to prepare the correct documentation, but contact them rectify to rectify the issue.

The article below outlines the proper steps to take to deal with the IRS once they’ve contacted you.

Understand Why

The first step that you should take when the IRS contacts you is to try to understand why they’ve done so. The most common reasons why people are contacted by the IRS is because they’ve been selected for an audit, there was a discrepancy on the amount claimed or they simply need more information on your filings.

Regardless, it’s important to remain calm during the process to understand why it happened, and what you need to do.

Reach Out to the IRS

To gain a better understanding of why the IRS has contacted you, it’s also advised to try contacting them about the request. This is important because it can help to eliminate confusion and fast-track the issue they are concerned with.

To contact the IRS, you can simply choose to call the number that’s listed on the notice, visit their website, respond via mail, or visit an office in person to receive more information on their notification.

Prepare Necessary Documentation

Once you’ve received more information on the reasons why you’ve been contacted by the IRS, it’s important to begin preparing the necessary documentation to give to them. This is important so you can take it to a professional to overlook, streamline communication and prevent delays.

Some of the most vital documents that you may want to prepare in advance include home mortgage statements, previous tax returns, receipts, retirement account records, pay stubs and brokerage statements.

Further, it’s also advised that you grab copies of these documents (not the originals) to provide to them These documents should also be of the year and time-frame they are requesting.

It’s also important to note that if you misplaced a document to call them and request they send you a duplicate copy of the forms on your file to add to your records.

Contact the Professionals for Help

Prior to meeting with the IRS, it’s also advised that you take the documents to be reviewed by professionals. Meaning, you should consider taking the notice (and necessary paperwork) to be looked at by a financial advisor, accountant, or lawyer to see if they can spot any discrepancies on the documents.

This can be a simple and easy way to gain more knowledge on the notice, and how to proceed with it further. Plus, the professionals will likely have more knowledge and experience in handling these matters to make it as simple for you as possible.

Educate Yourself on your Rights

Another tactic that you can use if you’ve been contacted by the IRS is to educate yourself on your rights during the process. This is important so you know exactly how to respond, and don’t feel pressured into submitting more documents than necessary.

For example, you have the right to have a certified public accountant (CPA), attorney or IRS enrolled agent represent you. Further, you have a right to professional and courteous treatment, privacy and confidentiality, as well as the right to appeal if you are not happy with the verdict. Simply knowing this information can help to ease tension and allow you to feel confident throughout it.

Ultimately, being contacted by the IRS can be a stressful ordeal. However, with the right knowledge and tactics, the process can be simple. If you’ve been contacted by the IRS and are unsure how to proceed, consider getting in touch with a member of our team who would be happy to help.

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