Received An IRS CP2000 Notice? Don’t Panic. Act Now.

Receiving a CP2000 notice from the IRS can be unsettling. It means the IRS has found a discrepancy between the information on your tax return and what they have on file from third parties like your employer or financial institutions.

This notice, also known as an Underreporter Inquiry, proposes adjustments to your tax liability and may even include penalties.

However, it’s crucial to remember that a CP2000 is not a bill and doesn’t automatically mean you owe money.

What Does A CP2000 Notice Mean?

The IRS uses automated systems to cross-reference your tax return data with information received from other sources. If discrepancies arise, a CP2000 notice is generated. This notice outlines the discrepancies, proposes adjustments to your tax return, and often includes potential penalties.

Learn more about the CP2000 Notice on the IRS website.

What Should I Do If I Receive A CP2000 Notice?

While it might be tempting to ignore this notice, doing so can have serious consequences. Here’s why seeking legal counsel from a qualified tax attorney is crucial:

1. Understanding the Notice: CP2000 notices can be complex and filled with technical jargon. An attorney specializing in tax law can help you understand the specific issues raised in your notice and explain your rights and options.
2. Accuracy is Key: Mistakes happen, both on your end and the IRS’s end. Your attorney can carefully review the notice, your tax return, and supporting documentation to identify any errors or inconsistencies that may have led to the discrepancy.
3. Building a Strong Case: If the information on the notice is incorrect or if you disagree with the proposed adjustments, your attorney can gather evidence, build a compelling case on your behalf, and handle all communication with the IRS.
4. Negotiating on Your Behalf: Tax attorneys are skilled negotiators and can effectively advocate for your best interests. They can work with the IRS to potentially reduce or eliminate penalties, set up a payment plan if necessary, and explore all available options for a favorable resolution.
5. Peace of Mind: Dealing with the IRS can be stressful and time-consuming. Hiring a tax attorney allows you to focus on other important matters while knowing that your case is being handled by an experienced professional dedicated to protecting your rights.

Don’t let a CP2000 Notice derail your financial well-being. Contact our experienced tax attorneys today for a consultation. We’re here to help you navigate the complexities of tax law and achieve the best possible outcome for your situation.