Two instincts show up when that envelope lands, and both are wrong. One is to panic. The other is to put it in a drawer. Most IRS letters are routine and a great many are settled with a single reply — but nearly all of them carry a deadline, and the deadline is the part that actually costs you.
If you read nothing else: find the response deadline and put it somewhere you will see it. Almost every bad outcome here comes from a missed date rather than from the underlying issue. A disputable proposal that goes unanswered simply becomes what you owe.
Step 1: Confirm it is really from the IRS
Impersonation is common enough to check first. The IRS makes first contact by mail — not by phone, text, email, or social media. It does not demand payment in gift cards, wire transfers, or cryptocurrency, and it does not threaten to have you arrested over the phone.
A genuine notice references a specific tax year, carries a notice or letter number, and explains your rights to disagree. If you have any doubt, do not dial the number printed on the page — a fake letter prints a fake number. Look up the IRS independently or sign in to your account at IRS.gov, where genuine notices are visible.
Step 2: Find the notice number and the deadline
Every notice has an identifier — often a code beginning with CP or LTR — printed in a corner. That code tells you what kind of letter it is, and searching it on IRS.gov brings up a plain description of what it means and what response is expected. It converts an intimidating page into a specific, bounded question.
Then find the date you must respond by. Write it down. Response windows are commonly measured in a small number of weeks from the date on the letter, not from the day you opened it.
Step 3: Work out which kind of letter you have
The right response depends entirely on the category, and they vary enormously in seriousness:
- Informational. A change was made, a refund adjusted, a payment applied. Often no reply is needed — read it, check it against your records, keep it.
- A request for something specific. A missing form, a signature, verification of identity. Usually straightforward and usually resolved by sending what is asked for, on time.
- A proposed change to your return. Typically because a figure did not match what an employer, bank, or broker reported. This is a proposal — you can agree or disagree, but only within the window.
- A balance due. Interest and penalties accrue while it is outstanding, so time genuinely matters here.
- An examination notice. Comparatively rare. This is the point to get a credentialed professional involved before responding.
- Collection activity. Notices about levies or liens are the most serious and the most time-sensitive. Do not sit on these.
Step 4: Check the claim against your own records
Before conceding or disputing, pull the return in question and the supporting documents. A surprising share of proposed adjustments trace back to something ordinary — a form that arrived after you filed, a corrected 1099, income reported under the wrong year, a duplicate. Knowing which it is determines everything about your reply.
If you cannot find the return, you can request a transcript from IRS.gov. If a paid preparer filed it and will not give you a copy, treat that as its own warning sign — see our guide on preparer scams and ghost preparers.
Step 5: Decide whether to handle it yourself
Plenty of notices are genuinely a one-letter job. Handle it yourself when the letter is informational, or asks for a document you have, or reflects a small correction you agree with after checking.
Get a credentialed professional involved when:
- The letter is an examination or collection notice.
- You disagree with a proposed adjustment of any real size.
- The amount is significant relative to what you could absorb.
- Several years are involved, or several notices.
- Business income, rental property, or an entity return is in scope.
- You suspect the underlying return was prepared badly or dishonestly.
Here the credential is not a nicety. Only a CPA, enrolled agent, or attorney can represent you before the IRS — an uncredentialed preparer cannot speak to the agency for you even if they prepared the return that caused the letter. Our guide to the three credentials explains what that means in practice.
Step 6: Respond in writing, and keep everything
- Answer by the deadline, even if your answer is that you need more time or are disputing the figure.
- Reply to what was actually asked. Extra volunteered information widens the conversation without helping you.
- Send copies, never originals, and include the notice number and tax year on everything.
- Use a method that proves delivery and keep the receipt.
- Keep a copy of the entire package, plus notes of any phone call: date, time, who you spoke to, what was said.
This guide is general information, not tax or legal advice. IRS procedures, forms, and deadlines change, and the right response depends on your specific notice and facts. Verify current requirements at IRS.gov or with a licensed professional before acting.
Frequently asked questions
Does an IRS letter mean I am being audited?
Usually not. The large majority of IRS correspondence is routine: a math correction, a request for a missing form, a balance due, a notice that a figure on your return did not match what a third party reported. Full examinations are a small fraction of the mail the IRS sends. The notice number in the corner tells you which kind you have, and that is the first thing to look at.
How do I know the letter is genuine and not a scam?
The IRS initiates contact by mail, not by phone call, text, or email — and it will not open with a demand for immediate payment by gift card, wire, or cryptocurrency, or threaten to send police. A real notice carries a notice or letter number (commonly in the upper or lower right), references a specific tax year, and explains your appeal rights. If anything feels off, do not use the contact details printed on the letter: look up the IRS number independently, or check your account at IRS.gov.
What if I cannot pay what the letter says I owe?
Respond anyway, by the deadline. Non-payment and non-response are treated very differently — the IRS has installment agreements and other options for people who engage, and penalties and interest continue to build for people who do not. Silence removes choices; it does not preserve them.
What if the IRS is simply wrong?
That happens, and notices are challengeable. A proposed adjustment is a proposal, not a verdict, and the letter will set out how to disagree and by when. Say so in writing within the deadline and include documentation supporting your figure. Missing the response window is what turns a disputable proposal into an assessment.
Who is allowed to deal with the IRS on my behalf?
Only a CPA, an enrolled agent, or an attorney has unlimited representation rights. An uncredentialed preparer cannot represent you — not even one who prepared the return in question. Authorizing someone requires a form (commonly Form 2848). If you plan to have someone handle it, engage them early rather than after the deadline passes.
Should I just call the number on the notice?
Calling is reasonable for a straightforward question once you have confirmed the notice is genuine. But keep two things in mind: hold times can be long, especially in filing season, and anything agreed by phone should still be followed up in writing. For anything involving a disputed figure or a significant balance, get advice before the call rather than after it.
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