What Should You Review before Contacting a Tax Lawyer in Greenpoint?

An IRS letter may request information, propose an adjustment, state a deficiency, or address collection. A New York State notice may involve income tax, sales and use tax, withholding, or another state-administered tax. Some business taxes are administered by the New York City Department of Finance. Keep the complete notice and attachments. If several years are involved, separate them because the adjustment and procedural status may differ.

IRS Letter 525 generally gives 30 days from the letter date to request review by the IRS Independent Office of Appeals. A statutory Notice of Deficiency generally states a 90-day period to petition the U.S. Tax Court when addressed within the United States. Sending records or discussing the matter with an examiner does not itself change a statutory filing period.

Useful records may include the filed return, W-2s, 1099s, payment records, deduction support, basis documents, account transcripts, and earlier correspondence. The return alone may not resolve the issue. A basis dispute may require acquisition records, while a payment-credit problem may depend on bank records and payment confirmations.

A business may need bank statements, invoices, payroll records, sales records, exemption certificates, ledgers, entity returns, and prior audit workpapers. Organize them by tax period and disputed item. For sales or payroll tax matters, identify whether the dispute concerns reporting, collection or withholding, payment, or individual responsibility. An examination may overlap with IRS audit defense, but the first task is to isolate the adjustment and the records tied to it.

If a filed return contains an error, determine whether an amended filing is appropriate and whether an examination is already open. An amended return does not automatically replace a response required by an existing notice. During an audit, focus on the item under examination and the evidence tied to it. A contested adjustment may overlap with tax disputes, but an audit response and a formal challenge are separate steps.

After assessment, determine whether the taxpayer disputes the liability or instead needs to address payment and collection. Review earlier notices before assuming the underlying liability can still be challenged through the same route. An unpaid balance may overlap with tax debt resolution, while the current document may concern payment, a levy, a lien, or another collection action.

A proposed IRS examination adjustment may offer review through the IRS Independent Office of Appeals. A statutory Notice of Deficiency is different because it can provide a route to the U.S. Tax Court before the proposed deficiency is paid. Not every IRS notice creates a Tax Court filing right, so confirm the notice type and deadline before choosing the response.

A New York State notice with protest rights may allow a conciliation conference through the Bureau of Conciliation and Mediation Services or a petition with the Division of Tax Appeals. A personal income tax Notice of Deficiency or sales and use tax Notice of Determination generally carries a 90-day filing period, or 150 days when addressed outside the United States. BCMS accepts online requests for many eligible notices, while Division of Tax Appeals petition forms must be filed by mail or delivery.

For business taxes administered by the New York City Department of Finance, a Notice of Proposed Tax Adjustment generally provides 30 days to respond or request an exit conference. A later Notice of Determination generally provides 90 days, or 150 days if addressed outside the United States, to request conciliation or petition the NYC Tax Appeals Tribunal. The Tribunal does not hear NYC personal income tax or sales and use tax matters administered by New York State. Identifying the administering agency is therefore central to state and local tax review.