Received a Letter from the IRS? Don’t Panic—Here’s What to Do!

Sandra Pardo
Jan 3
2 min read

We’ve all been there: you open your mailbox, and there it is—a letter from the IRS. Your heart skips a beat. What did I do? Is this an audit? Are they coming after me? Deep breath! Let’s unpack what you need to know and what steps you should take to handle the situation calmly and effectively.

1. Never Ignore It

First things first, don’t toss that letter in a drawer hoping it’ll go away. Ignoring an IRS notice can lead to penalties, interest, or even legal action. It’s best to address the situation head-on.

💡 Pro Tip: Think of it as a to-do list item. Deal with it now to save yourself from headaches later.

2. Read It Carefully

Take your time to read the notice. The IRS doesn’t send letters just for fun; there’s a specific reason they reached out. The notice will explain:

Why they’re contacting you.
What they believe needs correction or action.
What steps you need to take.

Understanding the issue is half the battle!

3. Respond Before the Deadline

The notice will include a deadline. Missing it could escalate the issue, leading to more letters, fines, or complications.

💡 Stay on top of it: Mark the deadline on your calendar or set a phone reminder. A timely response can prevent the problem from growing.

4. If There’s an Amount Due, Investigate

If the IRS claims you owe money, don’t just pay up without checking. Mistakes happen! Look at your records and see if their claim matches up.

Agree with them? Pay it by the deadline to avoid further interest.
Disagree? Call or write to the IRS to explain your position. They provide contact details on the notice.

💡 Hot Tip: If you’re reaching out by phone, be prepared for long wait times. Have all your documents handy to make the call productive.

5. Keep Copies of Everything

Whether you’re paying, disputing, or just acknowledging receipt, keep copies of the notice and all related correspondence. Organized records can save the day if the issue resurfaces.

💡 Pro Tip: Create a dedicated IRS folder (physical or digital). You’ll thank yourself later.

6. Know How the IRS Communicates

The IRS always starts with snail mail. They will not:

Call you out of the blue.
Email you.
Send you a text.

If someone contacts you claiming to be the IRS through any of these methods, it’s likely a scam. Hang up, delete, and breathe easy.

The Big Picture

A letter from the IRS is a call to action, not a catastrophe. By staying calm, informed, and proactive, you can resolve most issues quickly and painlessly. Remember, the IRS’s primary goal is to resolve discrepancies, not to make your life miserable (though it may feel that way sometimes).

💡 Need More Help? If you’re feeling overwhelmed, it might be worth consulting a tax professional to help you decipher the notice and guide you through the process.

Stay Informed and Protect Yourself

Understanding your responsibilities and rights is the best way to stay ahead of the game. The IRS is serious business, but with these steps, you can tackle any letter with confidence.

💌 Got questions or need advice? Drop us a message—we’re here to help!

Biz Synergism: Making serious topics simple, and the IRS a little less intimidating.