If you do not know what an IRS Notice CP14 is, then you must be doing everything right! However, filing your tax return on time isn’t always the end of contact with the IRS. Your tax returns will be assessed and if the IRS considers there are any mistakes on there and you owe them some money they will issue an IRS Notice CP14 to reclaim the revenue.
How Will I Know If I Owe the IRS Any Money?
Make no mistake, if your address is current, you will know if you need to pay any further revenue within 4 weeks of submitting your return. The IRS Notice CP14 will be delivered to your address and it will enclose a statement advising you of the balance due for payment. Do not ignore this letter, even if you think it is in error. You should immediate consult a tax professional who will be able to advise and/or deal with it on your behalf. If you do ignore that letter then you will undoubtable receive many more such communications form the IRS, each one a little more intense and threatening to institute liens and levies. So, here is what to do when you receive the initial IRS Notice CP14.
Scrutinize The IRS Notice CP14 For Discrepancies Or Inaccuracies
The notice will have all the relevant information you need to check it is correct. The notice will have the following:
- The IRS address and telephone number
- The type of Notice it is
- The notice date
- The tax year it is claiming revenue for
- Your Social Security Number
- Balance of tax amount owed
- Payments and credits
- Penalties and interest charged on taxes owed
- The final amount due to be paid
- Deadline for paying the outstanding amount
The notice will tell you what you need to do next, and it gives you ways in which to make the payments if you are not working with an IRS representative, or tax specialist. If you disagree with the amount, now is the time to contact a tax professional to discuss it.
Check Your Actual Tax Return For Errors
It is possible there are errors on your tax return, so initially you should check this over, or pass it to a tax specialist to check for you. Do this before making any repayment. If there are no errors on the tax return, then you can contact the IRS direct and try to resolve the outstanding payment with them. You may be able to make the repayment in installments, again your tax specialist can help with this arrangement for you, if you don’t; feel able to deal with the IRS yourself.
Paying The Due Amount
You can pay the amount owed in full, or you can come to some arrangement to pay in installments. The IRS are fairly accommodating with this. Ideally, you should already have consulted a tax expert who will be able to handle all of this for you. They may even be able to suggest an alternative arrangement. Tax Defense Partners have a significant amount of experience with creating installment agreements with the IRS on behalf of our clients. Contact us for assistance now.