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There's no "W" in IRS...


So letters with these headings come from time to time - and there's just no "W" (win) in the letters "IRS." Just my two cents, dealing with these was never fun before the pandemic, but when the IRS got backed up after their 5-6 week shutdown in the spring of 2020, the pain increased exponentially. They still send notices demanding penalties, interest, etc., - but a "snail mail" response can cross in the mail with increasingly grumpy IRS responses, including the dreaded "Intent to levy."


So what to do? First, whether the tax notice is from the IRS or Indiana (or any other state) don't panic. And my recommendation would be don't just write a check and assume the notice is correct. Second - DO deal with it as soon as possible. Letting it sit has never been shown to be a good idea. Three - the IRS has a "hotline" for tax practitioners where via telephone and fax, these notices can sometimes be resolved with one phone call. So yes, I would encourage you to reach out to a tax professional and yes, I have experience with this sort of thing. One of the messiest parts of these notices is it's like you're dealing with a nameless, faceless, entity. How can we pick up the "W" if we can't even see who's on the other side? I'm here to help with that.


As shown elsewhere on my site, the persistence Charlie the Cardinal shows is absolutely essential when dealing with the IRS. Once I sink my teeth into the truth of what a taxpayer's situation is and can see the path forward, I take some degree of pride in being a bulldog and not letting go until it's resolved.


A couple takeaways from a situation I dealt with today - one, when paper filing anything with the IRS or state authorities, be sure to use certified mail and keep receipts. And in today's episode - the penalty was waived and while those letters "IRS" still cause stress - today the taxpayer got the "W." Blessings, all!

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