Taxpayers have the right to appeal an IRS decision in an independent forum. This is not just one of ten fundamental rights — known collectively as the Taxpayer Bill of Rights — it’s the law. All taxpayers should know and understand their rights if they need to work with the IRS on a personal tax matter.
The IRS’s Independent Office of Appeals handles a taxpayer’s case must be separate from the IRS office that initially reviewed that case. Generally, Appeals will not discuss an issue with the IRS to the extent that those communications appear to compromise the independence of Appeals, according to a news release.
Here are Some Important Details About This Right:
- A statutory notice of deficiency is an IRS letter proposing additional tax. Taxpayers who receive this notice and then timely file a petition with the United States Tax Court may dispute the proposed adjustment before they must pay the tax.
- Taxpayers are entitled to a fair and impartial administrative appeal of most IRS decisions, including many penalties.
- Taxpayers have the right to receive a written response regarding a decision from the Office of Appeals.
- When taxpayers don’t agree with the IRS’s decisions, they can refer to Publication 5, Your Appeal Rights and How To Prepare a Protest If You Don’t Agree, for details on how to appeal.
- Generally, taxpayers may file a refund suit in a United States District Court or the United States Court of Federal Claims if:
- They have fully paid the tax and the IRS has denied their tax refund claim.
- No action is taken on the refund claim within six months.
- It’s been less than two years since the IRS mailed them a notice denying the refund.