What is a 971 tax return and how to respond to it?
Tax code 971 is a letter sent by the Internal Revenue Service (IRS) to notify you that it has amended your tax return. This change can be due to many reasons, such as an error on your tax return, new information discovered by the IRS, or an investigation. If you receive tax notice 971, it is important to read it carefully and follow the instructions. Tax officials usually give you time to respond to the notice. If you don’t respond within the deadline, the IRS can redo your tax return without your help.
How to respond to tax notice 971?
You can respond to IRS Notice 971 by writing or calling the IRS. If you decide to write a letter, be sure to include the following information:
Your name
Your address
Your security number
Display number
Explain why you cannot accept the change
Any supporting documents such as receipts or other financial documents
If you choose to call the IRS, the phone number will be on your notice or you can call IRS general line 1-800-829-1040.
Common pitfalls to avoid when responding to a 971 notification code
Here are some common pitfalls to avoid when responding to IRS Notice 971.
Don’t ignore the message.
If you do not respond to the notice before the deadline, the tax authorities will take further steps. This could include applying for a lien on your property or having wages garnished.
Do not attempt to manage notifications yourself. If you don’t know what to do, you should consult a tax professional.
Don’t delay in responding to the notice. The sooner you respond, the sooner the problem will be resolved.
Tips for Responding to Tax Law 971
Here are some tips for responding to Tax Notice 971.
Be thorough
Gather all the necessary documents before writing your response. This may include your tax returns, receipts, and other financial information.
Be clear and concise
Explain your point clearly and concisely. Avoid using technical or legal jargon.
Be polite
The IRS is a government agency and you should respect your response. Read your answer carefully. Make sure there are no grammar or spelling errors.
If you need help with a notice you received from the IRS or State tax authorities, we may be able to help – please contact us using the below form.