Ever open your mail and see an IRS letter staring back at you? Your heart probably skipped a beat.
But most IRS letters are routine. They usually mean the IRS needs information, has made an adjustment, or is notifying you about your account.
Here’s a quick read on what to do if you receive an IRS letter. The key is not to panic, but to act quickly and correctly.
The IRS communicates by mail, not text or social media. Look for the notice or letter number in the top corner. That code tells you what type of issue it is. A CP14 usually means you owe a balance. A CP11 or CP12 points to a math error. CP2000 often means income was reported differently than what you filed. And a 5071C means they want to confirm your identity.
Every notice type is explained on the IRS website. Search the number on your letter and you’ll find instructions on what it means and how to respond. This is the fastest way to separate routine corrections from issues that need more attention.
If the IRS made a correction and you agree, you may not need to do anything besides adjust your own records. If you disagree, you’ll need to gather supporting documents.
That could be W-2s, corrected 1099s, receipts, or bank statements. Clear proof is your best defense.
Most letters include a specific date for a response. Ignoring it means penalties, interest, or losing your right to appeal. If the letter says to call, use the number on the notice. If it tells you to mail in documentation, send it before the deadline and keep a copy for your records.
Pay what you can, even if it’s not the full amount. This reduces interest and shows good faith. The IRS has payment options, including installment plans and direct pay. Acting early is always better than waiting.
In 2025, scammers are getting more creative. The IRS will never ask for payment in gift cards, crypto, or through social media. If you are unsure, call the official IRS number at 800-829-1040 to verify the letter.
Hold onto the letter, your response, and proof of mailing for at least three years. If you ever face an audit or future notice, having this documentation makes things smoother.
Audits are rare, but if your letter says you are being audited, take it seriously. Many audits are by mail and only require sending documents. If it looks more complicated, consider bringing in a CPA or tax attorney to represent you.
The IRS has been working through a backlog, so responses may take longer than usual. That makes it even more important to follow the process correctly and keep your side documented. Staying proactive protects both your wallet and your record.
Open the letter. Go on… do it.
Identify the notice number. Look up what it means on IRS.gov. Decide if you agree or disagree, gather documents, and respond before the deadline.
If money is owed, explore payment options right away. And if you are unsure how to respond, get professional help before sending anything back.
At Adam Traywick, we help Texas taxpayers handle IRS letters the right way.
We’ll make sure you understand what the notice really means, build the right response, and keep you in good standing.
If you have an IRS letter sitting on your desk, reach out before you reply.
Acting early can save you time, stress, and money.
Until next time.
