Category Archives: IRS Notice

Protecting Taxpayer Data in 2016

Because of improved protections in recent years, the Internal Revenue Service stops the vast majority of fraudulent tax returns using stolen identities. But identity thieves and criminal syndicates continue to persist and evolve. The IRS and Identity Theft As the threat has changed, so has the IRS. In a new era of cooperation, the IRS,… Read More »

Understanding IRS Guidance – A Brief Primer

For anyone not familiar with the inner workings of tax administration, the array of IRS guidance may seem, well, a little puzzling at first glance. To take a little of the mystery away, here’s a brief look at seven of the most common forms of guidance.   What is IRS Guidance? In its role in… Read More »

Mississippi Storm Victims; Tax Deadline Extended to May 16

Mississippi storm victims will have until May 16, 2016, to file their returns and pay any taxes due, the Internal Revenue Service announced today. All workers assisting the relief activities who are affiliated with a recognized government or philanthropic organization also qualify for relief.   Disaster declaration for individual assistance issued by the Federal Emergency… Read More »

IRS Interest Rates Remain the Same for the First Quarter of 2016

The Internal Revenue Service today announced that interest rates will remain the same for the calendar quarter beginning Jan. 1, 2016, as they were in the previous quarter.  The rates will be: three (3) percent for overpayments [two (2) percent in the case of a corporation]; three (3) percent for underpayments; five (5) percent for… Read More »

Correspondence Exam or Corr Exam IRS Audit

Correspondence Exam or Corr Exam is the most common type of IRS audit procedure. Corr Exam asks for verification of credits and deductions claimed on the tax return.  A major compliance program, Correspondence Examination asks for verifications of credits and deductions claimed on a tax return to determine if they are being reported correctly. The major areas… Read More »

IRS Data Breach Information 2015

A leak of information is the intentional or unintentional insider theft or release. It may be improperly disposed personally identifiable information in the trash or as a result of a refined cyber criminals to attack by computer corporations. It may affect large or small companies. The common link is the victim, the person whose identity, financial or… Read More »

Understanding Your IRS 5071C Letter

IRS 5071C  letter tells you that the IRS needs more information to verify your identity in order to process your tax return accurately. Receiving a 5071C is not the end of the world and can usually be quickly resolved. The contact information below is only for taxpayers who received Letter 5071C. If you’ve received a 5071C… Read More »

Automated Underreporter program IRS AUR Cases

The Automated Underreporter program. AUR cases are created from two primary sources: the Individual Master File, or IMF, that contains the individual tax return information filed; and the Information Returns Master File, or IRMF, that contains the payer information filed. After all current-year returns are processed, they are computer-matched to the corresponding IRMF file.   IRS… Read More »

Most Common IRS Tax Audit Compliance Programs

The two major compliance programs that involve reporting compliance issues are programs that look at the items that are reported or should have been reported on the tax return. They are Correspondence Examination, also referred to as “Corr Exam” throughout this presentation, and Automated Underreporter, or AUR. These programs share some similarities, but there are… Read More »