Seeing correspondence from the Internal Revenue Service (IRS) can be unsettling. Once you open the envelope, you may see that you received a CP3219A, which is an IRS Notice of Deficiency, which is sometimes known as the 90-day letter.
This notice is a proposed change to a tax return that indicates an additional tax is owed to the IRS. It explains your rights to challenge the changes before you pay the disputed amount. Understanding the purpose of this notice and your options may be beneficial if you receive one.
When does the IRS send a CP3219A?
The CP3219A is usually issued when the IRS doesn’t receive a response to previous correspondence, which usually alerts you of mismatched income information. The initial correspondence is a chance to correct the discrepancies between your return and the information submitted by employers.
What important information is on a CP3219A?
One of the most important things to check when you receive a CP3219A is the deadline, which is typically 90 days from the date on the notice. During that time, you have the right to file a petition with the United States Tax Court, which may stop the IRS from assessing and collecting on the notice until the matter is resolved in court.
Failing to abide by the deadline allows the IRS to assess the proposed tax, as well as related penalties and interest. At that point, the balance due becomes official, and collection activities can begin.
If you receive any notice from the IRS, including a CP3219A, it’s critical to understand your rights and responsibilities. Working with someone who’s familiar with these notices may be beneficial since they can explain what you need to know and help you through the process.