Once the IRS has determined there is a deficiency in a taxpayer’s income, and issued a Notice of Proposed Adjustment (NOPA), also known as a 30-day letter, the taxpayer’s options for disputing that determination narrow, significantly. Accordingly, we believe the taxpayer must take advantage of all options for resolving that determination before resorting to litigation which can be extremely expensive and time-consuming. Audit Reconsideration is one such option. Unfortunately, the circumstances under which it may be utilized are limited, and must be carefully navigated, thereby requiring cautious planning.
Audit Reconsideration is a process used to help when you disagree with results of an IRS audit of your tax return. You may request audit reconsideration if you did not appear for your audit, moved and did not receive correspondence from the IRS, have additional information to present that you did not provide during your original audit, and/or disagree with the audit conclusions.
Your reconsideration request will be accepted (but not necessarily granted) if you submit information that the IRS has not considered previously, you filed a return after the IRS completed a return for you, you believe the IRS made a computational or processing error in assessing your tax, the liability is unpaid or credits are denied. However, if you have actually paid the amount due in full, you must instead file a formal claim (Form 1040X, Amended U.S. Individual Income Tax Return).
An audit reconsideration request can be made any time after an examination assessment has been made on your account and the tax remains unpaid.