The IRS has announced the suspension of more than a dozen additional letters, including the mailing of automated collection notices normally issued when a taxpayer owes additional tax, and when the IRS has no record of a taxpayer filing a tax return.
These mailings include balance due notices and unfiled tax return notices. The IRS entered this filing season with several million original and amended returns filed by individuals and businesses that have not been processed because of challenges of the historic pandemic, and it is taking this step to help avoid confusion for taxpayers and tax professionals.
The IRS said it is pausing these automatic notices until government workers can get through the backlog. The IRS will continue to assess the inventory of prior year returns to determine the appropriate time to resume the notices.
Some taxpayers and tax professionals might receive these notices over the next few weeks. Generally, there is no need to call or respond to the notice as the IRS continues to process prior year tax returns as quickly as possible.
However, if a taxpayer or tax professional believes a notice is accurate, they should act to rectify the situation. For example, the IRS cautions people with a balance due that interest and penalties can continue to accrue. In addition, IRS employees may in select circumstances issue notices to particular taxpayers to resolve specific compliance issues.
The IRS does not have the authority to stop all notices as many are legally required and on a deadline. The IRS will continue to assess other changes and system modifications it might implement to help taxpayers. The IRS encourages those who have a filing requirement and have yet to file a prior year tax return or to pay any tax due to promptly do so as interest and penalties will continue to accrue.
Here is a full list of suspended notices.