Letters From the IRS

Posted by Brad Gross, CPA, Partner of Tax on Mar 24, 2015

Have you received a letter from the IRS lately and you’re not sure why? Well, you’re not alone. Two letters have recently been sent out by the IRS and should not be ignored if you happen to be one of the few who have received them.

Letter 5071C was only sent to those whom the IRS suspects may be the victim of identity theft by a false tax return being filed with the IRS. However, the correction for this is fairly simple. The IRS offers a fast and easy way to verify your identity by visiting idverify.irs.gov. You will be prompted to answer a series of questions only you, the true taxpayer, could answer. Before beginning this process, have on hand your prior year tax return, current year tax return, if filed, and all supporting documents (Forms W-2 and 1099 and Schedules A and C). This should only be completed by those who have received Letter 5071C.
The other notice sent by the “IRS” making taxpayers weary is a notice of changed address. If you did not make this change yourself, please contact the IRS as soon as possible by phone at 1-800-829-1040 or by visiting your local IRS office. The letterhead looks to be official, but if you have not recently updated your address, this is typically an indication that you may be a victim of identity theft. Some have found large variances in the changed address and some are only slightly off. Either way, we recommend that you contact the IRS immediately to correct your address and minimize the possibility of identity theft. The IRS has not yet released an explanation or warning pertaining to this letter, but we will be sure to notify you when an update is made on the subject.
For further aid in understanding your IRS notice or letter, visit http://www.irs.gov/Individuals/Understanding-Your-IRS-Notice-or-Letter.

Seek the services of a legal or tax adviser before implementing any ideas contained in this blog. To reach a financial advisor at Lane Gorman Trubitt PLLC, call (214) 871.7500 or email askus@lgt-cpa.com.

Topics: Accounting Tips