Financial Reporting & Analytics
Help Understanding IRS Notices and Organizing Your Tax Records
An IRS letter in the mailbox can ruin your week, even when the issue turns out to be small. We help you understand what it says, gather the right records, and prepare a clear, organized response.
Most tax notices follow a pattern. Each one identifies the tax year, the issue, the amount in question and a response date. We read yours with you and explain in plain language what the agency appears to be asking. A CP2000, for example, usually proposes a change because income reported by others did not match the return, which is quite different from a simple balance due letter.
From there, we organize the response. We pull together the records that matter, compare them with what the notice says, and prepare the supporting schedules. For audit preparation, we sort documents by year and by issue so that each item in question has a clear paper trail. When the IRS asks for financial information, we can prepare Form 433 financial statements from your actual income, expenses, assets and debts.
We should be clear about our role. We prepare and organize. An authorized representative of your choosing handles representation before the IRS, and we keep your records ready so that person can work efficiently. If you need one, we can explain what to look for. For legal questions, an attorney is the right person. Please do not wait for a deadline to pass, since options can narrow with time.
Who this is for
- Business owners holding an IRS or Georgia tax notice
- Individuals who received a letter they do not understand
- Companies preparing for an audit with records scattered everywhere
- Anyone asked to complete a Form 433 financial statement
- Owners with several unfiled or unresolved tax years
How Proactive Strategies helps
Read the notice together
We identify what it covers, what is being asked and the response date printed on it.
Compare it with your records
We check the notice against your filings and books to see where the difference lies.
Organize the supporting file
Records are sorted by year and issue, with missing items listed so you can find them.
Prepare statements and schedules
We prepare Form 433 financial statements and supporting summaries when they are needed.
Coordinate with your representative
Your authorized representative receives an organized file and handles representation from there.
In Georgia
Georgia taxes are handled separately from federal taxes, so you may receive letters from the Georgia Department of Revenue as well as the IRS. A federal change can also affect your state filing. We read both sets of correspondence side by side and organize your records so the two responses stay consistent.
How we work
What working together looks like
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Initial Consultation
A conversation about where you are, what is on your mind and what you would like to accomplish.
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Needs Assessment
We review the details, documents and priorities that matter to your situation.
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Strategic Recommendations
You receive clear, practical recommendations and a sensible order for acting on them.
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Implementation Support
We help put the plan in motion, organizing the work and coordinating with the people involved.
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Ongoing Guidance
As your business and life change, we stay available to revisit decisions and keep things on track.
Questions
Frequently asked questions
Have a question that is not answered here? Book a consultation and ask us directly.
What should I do first when an IRS notice arrives?
Open it, note the response date and keep the envelope with the letter. Do not ignore it, and do not pay or agree to anything until you understand it. Then contact us for a consultation, so we can read through it with you and map out your next step.
Will you deal with the IRS on my behalf?
We prepare and organize, including reading notices, assembling records and preparing statements. An authorized representative of your choosing handles representation before the IRS. If you do not already have someone, we can explain what to look for, and we keep your file ready for that person.
What is a Form 433 financial statement?
Form 433 refers to a group of IRS collection information statements, such as Form 433-A, 433-B and 433-F. They ask for details about income, expenses, assets and debts, and the IRS may use them when reviewing how a balance can be paid. We prepare them from your records.
How can I prepare for an IRS audit of my business?
Start by reading exactly which years and items the audit letter covers, since the scope is often narrower than people fear. We organize bank statements, receipts and ledgers for those items, flag gaps early, and hand a tidy file to your authorized representative, who handles the audit contact.
Can I email you a copy of my IRS letter?
Please do not. Notices often contain personal identifiers, so tax and personal documents must never go through the website form or email. You can describe the situation in general terms when you reach out. After your consultation we will explain how to share documents securely.