Part IV: Computer Notices (Problems 11-13)

Studies show these notices are wrong as much as 50% of the time!

Each year, the IRS issues about one hundred million notices of every description, covering billions of dollars in account transactions and changes. Unfortunately, the United States Government Accountability Office's studies show that those notices are wrong as much as 50 percent of the time. The Taxpayer Advocate's annual report to Congress regularly places notices high on the list of the most serious problems faced by citizens. Tax professionals likewise rank these problems high on their own list.

And while the error rate is high, many people are intimidated by the IRS in general and its communications in particular and they believe it is just easier to pay than to fight back. What is more, even when people are willing to fight back, they are generally unaware of their right to fight back. When they seek help, either from the IRS or from tax professionals, they are left with the impression that the battle is either hopeless or far too expensive to undertake. As a result, the vast majority simply pay the bill even if they do not owe it.

Problem 11 Erroneous notice received assessing additional taxes
Problem 12 The IRS mailed a computer notice claiming I under reported my income
Problem 13 Valid notice received demanding payment of taxes

These books were mentioned in the above problems: