Glossary

IRS Notice of Deficiency

What Does it Mean When the IRS Sends a Notice of Deficiency?

An IRS Notice of Deficiency is a legal document from the IRS informing you that they’ve determined you owe more taxes than you reported. It’s not a bill, but rather a formal notification that the IRS intends to assess and collect the additional tax, penalties, and interest. This notice also provides you with the opportunity to challenge the IRS’s findings in Tax Court before they can collect.

Glossary Article

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