When the “Routine” Morphs into a “Ticket to Tax Court” – Partner Steve Jager Authors Article for Procedurally Taxing
The CP2000 Notice is a notice that the IRS uses when “routine matching” to ensure W2s and 1099s are matched against the tax returns filed. If a mismatch occurs, the taxpayer can either pay the calculated tax, or offer explanations as to why the mismatches are already reported,not taxable or correctly deducted. Under “normal” conditions, any responses made within 30 days would be acknowledged by the IRS, but what happens when the IRS is behind in opening mail, reading the correspondence and writing replies?
In Procedurally Taxing, a blog dedicated to addressing tax developments and issues, Partner Steve Jager was a guest author addressing this very issue, and sharing how one of his clients was driven to Tax Court by the IRS’s inability to process its mail.
According to Steve, the IRS system has significant delays when processing mail, even prior to the pandemic. However, the failure to move the case into a deficiency procedure process at an administrative stage is forcing taxpayers to hire a professional lawyer or qualified Tax Court practitioner to resolve their issue during these unprecedented times.
Read the full blog here: https://bit.ly/3aZRls3