Still Getting IRS Notices? How to Find Out What's Really Going On
Why Notices Keep Coming
You hired someone to fix your tax situation. You paid them. They told you everything was being handled. And yet—another letter from the IRS just arrived.
This is one of the most common and frustrating experiences taxpayers face. The IRS doesn't stop its automated collection process just because someone says they're working on your case. The system generates notices based on what's actually recorded on your account—not on promises made or payments to professionals.
There are legitimate reasons notices continue, and there are reasons that indicate a serious problem. The only way to tell the difference is to look at what the IRS actually has on record.
Understanding Notice Escalation
IRS collection notices follow a predictable sequence. Each step represents an escalation in urgency and consequence:
| Notice | What It Means | Urgency |
|---|---|---|
| CP14 | Initial balance due notice | Standard |
| CP501 | Reminder — balance still unpaid | Elevated |
| CP503 | Second reminder — immediate action needed | High |
| CP504 | Intent to levy — final warning | Critical |
| LT11 / Letter 1058 | Final Notice of Intent to Levy | Imminent action |
If you're receiving notices that are escalating for the same tax year, the underlying issue has not been resolved—regardless of what you've been told. A notice moving from CP14 to CP501 to CP503 means the IRS has not received payment, an installment agreement has not been established, or whatever action was needed has not been completed.
Common Reasons for Continued Notices
1. IRS Processing Delays
The IRS can take 4-16 weeks to process filed returns, payments, or agreements. During this window, automated notices continue to generate. If your professional recently took action, it may not have reflected on your account yet. Your transcripts will show the most current status.
2. Work Was Never Completed
The hardest possibility to accept: the professional you hired may not have done what they said. Returns may not have been filed. Penalty abatement may not have been requested. An installment agreement may not have been submitted. Your IRS transcripts will show definitively whether each action was completed.
3. The Action Taken Didn't Resolve the Issue
Sometimes work is completed but doesn't achieve the intended result. A penalty abatement request can be denied. An Offer in Compromise can be rejected. A return can be filed but create a new balance due. Your professional should be communicating these outcomes and adjusting the plan.
4. New Issues Have Arisen
While your professional was resolving 2019-2021, a new tax year may have passed (2022, 2023) with its own filing requirements or balance due. IRS notices for new years don't mean old work wasn't done—it means there's a new, separate issue.
5. Only Part of the Problem Was Addressed
Some firms address the most straightforward issues and neglect the complex ones. Returns may be filed but penalties never abated. An installment agreement may cover some years but not all. This leaves active collection running on the unresolved portions.
How to Check Your Actual Status
Stop guessing. Stop asking your professional what they did and just believing the answer. Check the source of truth—your IRS records.
There are two ways to see what the IRS actually has on your account:
Option 1: Check IRS.gov Directly
Create or log into your account at IRS.gov. You can view your account transcripts online for free. This shows basic information about filed returns and balances for each year. It's a good starting point but can be difficult to interpret without expertise.
Option 2: Get a PROOF Report
Upload your IRS transcripts and receive an instant, comprehensive analysis of every tax year—what's filed, what's missing, what's owed, what actions have been taken, and what remains outstanding. Designed to be understandable without a tax background.
Get clarity in 60 seconds
Upload your IRS transcripts and instantly see what the IRS actually has on file. Compare this to what your tax professional told you was completed.
Get Your PROOF Report →What Transcripts Reveal
Your IRS account transcripts contain transaction codes that tell the complete story of each tax year. Here's what to look for:
| What You Were Told | What Transcript Should Show |
|---|---|
| "We filed your 2020 return" | Transaction code 150 (Return Filed) with a date |
| "We got your penalties removed" | Transaction code 470/471 (Penalty Abatement) with adjustment amount |
| "Your installment agreement is active" | Transaction code 971 (IA Established) with terms |
| "We submitted your Offer in Compromise" | Transaction code 480 (Offer in Compromise Pending) |
| "Your account is in Currently Not Collectible status" | Transaction code 530 (Currently Not Collectible) |
If the transaction codes don't match what you were told, you now have documentation. This isn't about blame—it's about knowing where you actually stand so you can make informed decisions about what to do next.
What to Do Next
Once you have documentation of your actual IRS status, you can take informed action:
If Work Was Completed but Not Yet Processed
Ask your professional for copies of everything submitted, including confirmation numbers and dates. Wait for IRS processing (4-16 weeks) and check again. This is the legitimate scenario—be patient but verify.
If Work Was Partially Completed
Compare what IRS records show to your engagement letter. Present the specific discrepancies to your professional and ask for a written explanation and revised timeline. If the remaining work isn't completed within the new timeline, consider finding new representation.
If No Work Was Completed
If transcripts show nothing was filed, no agreements were established, and no actions were taken, you have documentation for:
- Requesting a full or partial refund from the firm
- Filing a complaint with the appropriate licensing board
- Reporting to your state attorney general's consumer protection division
- Pursuing legal action for breach of contract (you have the engagement letter and the proof nothing was done)
If You Need New Help
Take your PROOF report to your next consultation. A competent professional will appreciate having clear documentation of where things stand. It saves them investigation time and shows you're a serious, informed client.
Stop guessing. Start knowing.
Your IRS records tell the whole story. Get an instant analysis showing exactly what the IRS has on file for every tax year.
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Understanding the rules is one step. Get a Tax Analysis and Work Audit to determine what applies to your specific situation based on IRS records.
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