Author Topic: CP2000 notification  (Read 1117 times)

ricky_spanish

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CP2000 notification
« on: October 03, 2014, 06:44:19 AM »
Long story but Ill try to make it as abbreviated as possible.  I received a cp2000 notification for tax year 2012 in June for unclaimed 401k distribution and over reported student loan interest. I submitted the proper documentation (corrected 1099r showing JPMorgans error and 1099int from my student loans that the IRS completely ignored in their calculations) and letter explaining why I didn't owe any extra tax, the IRS seems to have accepted my reasoning and documentation on the issues they addressed in the cp2000 document they sent me in June, I say this because I got another cp2000 notification this month thanking me for my previous correspondence and saying based on my response I now owe them 5x what they originally thought!  The kicker is I looked over what they changed on my return in this latest cp2000 and it is a completely different issue than previously stated on the June cp2000. In 2012 I worked full time and went to school half time and my wife was a full time student, they deleted all of our education credits and the American opportunity credit, and are saying we misidentified income, failed to provide a w2 or 1099, and that they re-figured tax based on Schedule D computation. Should I hire a tax specialist to go over our 2012 return and respond to this latest notice? Also what is going to stop them from accepting my response and continually sending updated cp2000's for increasing amounts of back taxes? Any advice will be greatly appreciated!