Post Filing Issues
Understanding Your Rights
Your Appeal Rights/How to Prepare a Protest if You Don't Agree
If you don't agree with any or all of the IRS findings given you,
you may request a meeting or a telephone conference with the supervisor of the person who
issued the findings. If you still don't agree, you may appeal your case to the Appeals
Office of IRS.
If you decide to do nothing and your case involves an
examination of your income, estate, gift, and certain excise taxes or penalties, you will
receive a formal Notice of Deficiency. The Notice of Deficiency allows you to go to the
Tax Court and tells you the procedure to follow. If you do not go to the Tax Court, we
will send you a bill for the amount due.
If you decide to do nothing and your case involves a trust
fund recovery penalty, or certain employment tax liabilities, the IRS will send you a bill
for the penalty. If you do not appeal a denial of an offer in compromise or a denial of a
penalty abatement, the IRS will continue collection action. If you don't agree, we urge
you to appeal your case to the Appeals Office of IRS. The Office of Appeals can settle
most differences without expensive and time-consuming court trials. [Note: Appeals can not
consider your reasons for not agreeing if they don't come within the scope of the tax laws
(for example, if you disagree solely on moral, religious, political, constitutional,
conscientious, or similar grounds.)] The following general rules tell you how to appeal
your case.
Appeals Within the IRS
Appeals is the administrative appeals office for the IRS. You may
appeal most IRS decisions with your local Appeals Office. The Appeals Office is separate
from - and independent of - the IRS Office taking the action you disagree with. The
Appeals Office is the only level of administrative appeal within the IRS. Conferences with
Appeals Office personnel are held in an informal manner by correspondence, by telephone or
at a personal conference. There is no need for you to have representation for an Appeals
conference, but if you choose to have a representative, see the requirements under
Representation.
If you want an Appeals conference, follow the instructions in our
letter to you. Your request will be sent to the Appeals Office to arrange a conference at
a convenient time and place. You or your representative should prepare to discuss all
issues you don't agree with at the conference. Most differences are settled at this level.
In most instances, you may be eligible to take your case to court
if you don't reach an agreement at your Appeals conference, or if you don't want to appeal
your case to the IRS Office of Appeals. See the later section Appeals To The Courts.
Protests
When you request an appeals conference, you
may also need to file a formal written protest or a small case
request with the office named in our letter to you. Also, see
the special appeal request procedures in Publication
1660, Collection Appeal Rights, if you disagree with lien,
levy, seizure, or denial or termination of an installment agreement.
You need to file a written protest:
- In all employee plan and exempt organization cases without regard to
the dollar amount at issue.
- In all partnership and S corporation cases without regard to the
dollar amount at issue.
- In all other cases, unless you qualify for the small
case request procedure, or other special appeal procedures such
as requesting Appeals consideration of liens, levies, seizures,
or installment agreements. See Publication
1660.
How to prepare a protest:
When a protest is required, send it within the time limit
specified in the letter you received. Include in your protest:
1) Your name and address, and a daytime telephone number,
2) A statement that you want to appeal the IRS findings to the Appeals Office,
3) A copy of the letter showing the proposed changes and findings you don't agree with (or
the date and symbols from the letter),
4) The tax periods or years involved,
5) A list of the changes that you don't agree with, and why you don't agree.
6) The facts supporting your position on any issue that you don't agree with,
7) The law or authority, if any, on which you are relying.
8) You must sign the written protest, stating that it is true, under the penalties of
perjury as follows:
"Under the penalties of perjury, I declare that including
any accompanying documents, and, to the best of my knowledge and belief, they are true,
correct, and complete."
If your representative prepares and signs the protest for you, he
or she must substitute a declaration stating:
1) That he or she submitted the protest and accompanying documents
and
2) Whether he or she knows personally that the facts stated in the protest and
accompanying documents are true and correct.
We urge you to provide as much information as you can, as this will
help us speed up your appeal. This will save you both time and money.
Small Case Request:
If the total amount for any tax period is not more than $25,000, you
may make a small case request instead of filing a formal written protest. In computing the
total amount, include a proposed increase or decrease in tax (including penalties), or
claimed refund. For an offer in compromise, in calculating the total amount, include total
unpaid tax, penalty and interest due. For a small case request, follow the instructions in
our letter to you by: sending a letter requesting Appeals consideration, indicating the
changes you don't agree with, and the reasons why you don't agree.
Representation
You may represent yourself at your appeals conference, or
you may have an attorney, certified public accountant, or an individual
enrolled to practice before the IRS represent you. Your representative
must be qualified to practice before the IRS. If you want your representative
to appear without you, you must provide a properly completed power
of attorney to the IRS before the representative can receive or
inspect confidential information. Form
2848, Power of Attorney and Declaration of Representative,
or any other properly written power of attorney or authorization
may be used for this.
Important! For current Appeals information, see Information
About IRS Appeals on the IRS web site.
Important References
Publication
1660
Collection Appeal Rights
Form
2848
Power of Attorney and Declaration of Representative
Publication
5
Your Appeal Rights and How to Prepare a Protest if You Don't Agree
Publication
1
Your Rights as a Taxpayer
Web Links:
http://www.irs.gov/ind_info/appeals/index.html