Enrolled Agent/ Certified Tax Resolution Consultant.
Education & Training with FishCoin Tax Solutions IRS 00139079-EA
I represent taxpayers in New Hope, Minnesota and all the 50 States in the United State before all administrative levels—examination, collection, and appeals—of the Internal Revenue Service (IRS).
Explaining the CP2000 Notice
The IRS computer system matched the information reported on the taxpayer’s return with information reported by employers, banks, businesses, and others. If a discrepancy is found, a notice will be generated and mailed to the taxpayer(s). The charge may cause an increase or decrease in the tax or may not charge it at all.
Deadline: Respond in 30 days or the IRS will issue a Statutory Notice of Deficiency.
Things you could do
- Review the notice carefully and compare it to the tax return.
- If you did not prepare the return or you do not have a copy of your return, you will need to order a transcript of the tax return and wage/income transcripts if applicable.
- Contact the business or person reporting the information if it is wrong. Ask them to correct it, and then provide the corrected information to the IRS or Minnesota Department of Revenue. For example, if your employer, sent in the wrong W2 to the IRS. You can ask them to send in the right one.
- Review the other tax years and state returns and amend if necessary. You are not required to amend the return to agree or disagree with the changes, however if you find other mistakes or missed credits, it may make sense to file an amended return.
- Prepare a response to the notice explaining the items you agree or disagree with, attach the necessary back up documentation.
- Complete the notice response form whether or not you agree or disagree with the notice, the response form explains what actions to take. (The specific notice may not have a response form. In that case, the notice will have instructions on what to do).
- Review other year’s tax returns to verify they don’t have the same mistakes.
- Contact the IRS if you have additional questions.
- Keep a copy of the notice for your files.