In September of 2023, Jamal and Reese received a letter from the IRS for their 2021 taxes. The letter was an IRS CP2000, which had a proposed amount due that was just shy of $20,000! Before the panic began to set in, Reese began to look through their 2021 tax return to see where they could have potentially made a mistake. In the process, she discovered that they had purchased Audit Defense for their 2021 taxes. A wave of relief crashed over the couple as they knew they weren’t going to have to tackle this issue with the IRS on their own.
Reese immediately hopped onto the computer and pulled up the TaxAudit website. From there, she created a case on the secure messaging portal and was met with an automated message from their case coordinator requesting the documents needed to proceed forward. Reese quickly uploaded a complete copy of the IRS Letter CP2000 they received and a copy of their 2021 tax return as requested. The next morning, Jamal and Reese were informed that their case had been assigned to a tax professional, Edward, who would be assisting them with their IRS audit.
Edward called and explained his review of the notice. The IRS was looking into two things on their 2021 tax return: retirement and charitable contributions. The notice stated that there was a difference between what was reported on their tax return and what was reported from third parties, such as employers or financial institutions. In order to dispute the notice, Edward advised Jamal and Reese on the documentation that would be needed to dispute the proposed changes.
Reese quickly gathered all the documents that had been requested, and Edward compiled a response. The response was then reviewed by the quality control department before being sent to the IRS by the administrative services department. Edward advised that, now, the waiting game would begin, informing Reese and Jamal that the IRS can sometimes take weeks, or even months, to acknowledge and address a response. Wanting to gain further clarity into the process, Reese asked Edward if she could review a copy of the response that was sent to the IRS as a learning experience. Edward obliged and let her know he was happy to answer any additional questions they had.
After checking in every few weeks to confirm they had not received any correspondence from the IRS, Edward called and spoke with an IRS examiner regarding the status of Jamal and Reese’s audit. He was informed that a new letter, an IRS Letter CP2000C, was scheduled to be issued within a few days. Edward reached out to Jamal and Reese and let them know that they would be receiving a new notice from the IRS, and to keep an eye out. A week later, they received a new notice from the IRS. This new notice from the IRS stated that the IRS had accepted the response that was sent and that they would no longer owe the proposed amount due. In fact, instead of owing almost $20,000, they were now owed a refund of $400!
Jamal and Reese were thrilled and thankful for the assistance from TaxAudit. At the closing of their case, they had this to say: “Once again lost on my own, but Edward calmly took charge and corrected the minor issues that I had. Wound up getting a minor refund after showing I simply made a report mistake. This is, by far, the best value I get for any $$ I spend. By far.”
*Some names and identifying details have been changed to protect the privacy of the individuals.
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