Understanding IRS Correspondence
Every IRS notice has an identifying number (CP14, CP2000, LT11, etc.) indicating its type and purpose. Some are informational; others demand immediate response with serious consequences for non-compliance.
Common Notices
CP14 and CP501-CP504
CP14 is the first balance-due notice. CP501 is a reminder, CP503 more urgent, CP504 warns of levy intent with CDP hearing rights.
CP2000
Underreporter notice from automated matching of information returns. Not an audit. Proposes adjustments with opportunity to agree, partially agree, or disagree.
Letter 1058 / LT11
Final Notice of Intent to Levy. Last warning before enforced collection. The 30-day CDP hearing deadline must not be missed.
Notice of Deficiency (90-Day Letter)
Formal determination of additional tax after audit. Provides 90 days to petition Tax Court. Missing this deadline means losing the right to challenge before paying.
How to Respond
Read carefully, meet deadlines, reference the notice number and tax year, provide requested documentation, keep copies, and use certified mail. For complex notices involving significant amounts, consult a professional before responding.
An IRS notice is not a conviction. It is the beginning of a conversation. How you respond determines the outcome.