Have a Tax Question? Ask a Tax Expert
Hello and thank you for using Just Answer,If you have tried to work with the auditor and did not get them to see your side and you tried to have the manager see your deductions and they said no, you will now need to file a formal appeal. “Protest” is the official term for formally appealing an IRS determination. You must protest within 30 days of the date on the appeal notice letter. You have already "informally" appealed to the manager so this is your option. You can fd this on your own or you can have a tax professional represent you or just help you file the paper work.
Here is the problem. It is past the 30 day mark. We immediately replied to the supervisor and the supervisor told us they were agreeing with the examiner. We did not know nor were we furnished any information by the Examination Office telling us what our appeal rights were. In fact, the examiner only audited us for our 2009 return, and once that was denied, they sent us information about our 2011 return. We furnished the same examiner with information for 2011 and we are waiting to hear from him. But on the Notice of Deficiency, the examiner included tax year 2010 which he did not audit us for nor give us a date for an examination hearing for us to substantiate our 2010 deductions. I am sure that will not fly with the tax courts but we want to insure that all of our appeal rights leading up to tax court have been granted to us. Please advise.
No, your appeals rights have not been exhausted yet as long as you have not missed the date on the letter. The fact that they did an (what appears to be desk audit) assessment on the 2010 is still open for discussion. If you were not audited for 2010 then the assessment has been mad ebut you are alloowed to show your proof for the 2010 year.I have to say that in light of your information I would advise you get professional help in dealing with the IRS. Here is Publication 5 which you should have been advised in the notice of all your rights (it is sent with the notice)http://www.irs.gov/pub/irs-pdf/p5.pdfIt is a short 2 pages but will give you your basic info on what steps you have to take.When you receive a Formal Notice of Deficiency then you go to Tax Court. If you have been dealing with the IRS on your own, now is the time to get a professional involved (this means a CPA or an Enrolled Agent). You can find help from an Enrolled Agent at many chain tax offices (HR Block, Jackson Hewit...) and will likely pay less than you would with a CPA but if you know a CPA then call them first.At this point you can also contact the Tax Payer Advocate. 1-877-777-4778 I do not usually say contact the advocate but in your case it may be needed. Your rights are important and the IRS must abide by those. The advocate would be able to advise faster if your rights have been violated.