After the IRS has conducted an audit on your recent tax returns, the revised amount you now owe may either seem unjust and too high to pay off. Luckily, the IRS offers options to overturn the audit determination such as a penalty abatement or an audit reconsideration. An audit reconsideration will allow you to have the audit results re-examined if you were unable to obtain an audit appeal or have your case escalated to the Tax Court.
What Is an Audit Reconsideration?
An audit reconsideration is a process used by the IRS to reopen your tax audit. The grounds based on which the IRS is willing to reopen your case are as follows:
- You have new information.
- You missed your audit appointment.
- You disagree with the amount owed.
- The IRS made a computing error.
- You relocated and haven’t received an audit notice.1
You may not be eligible for an audit reconsideration if:
- The United States Tax Court or State Court has issued a final determination that you owe the balance.
- You have previously signed an agreement to pay the amount owed such as IRS Form 906, Closing Agreement; an Offer in Compromise agreement; or an agreement on IRS Form 870-AD, Offer to Waive Restriction on Assessment and Collection of Tax Deficiency and to Accept Overassessment, with the Office of Appeals.
- You have already paid off your tax liability in full. In that case, you must file a formal claim for a refund with IRS Form 1040 X, Amended U.S. Individual Income Tax Return.
How Long Does an Audit Reconsideration Take?
The IRS will respond to you within 30 days of submitting your audit reconsideration request, therefore, it is best to ensure your phone number is up to date and active. If the IRS accepts your audit reconsideration letter, it will take up to 3 months for an assigned auditor to respond. The more evidence and documentation you provide, the less time it will take to process your claim. If you have filed a dispute for penalties only, the process can take up to 3 years.
Let Us Help! Get Tax Resolution Assistance from GetATaxLawyer.com
No matter if you are looking to request an Offer in Compromise or an audit reconsideration, our trusted tax professionals in Los Angeles can help guide you in the right direction when it comes to clearing your tax liability. With decades of combined professional experience, our team can represent you before the IRS while remaining transparent so that you are always in the know about your returns. So, don’t wait, call a member of our staff today at 1-800-290-8160.
- Tax Lawyer Advocate Service – Audit Reconsiderations