You opened the mailbox, saw the IRS return address, and your stomach dropped. Maybe you set the envelope on the counter and walked away for an hour before you could bring yourself to open it. That is a normal reaction ? but now you need to read it carefully, because what you do in the next few days can make a significant difference in how this ends.
This guide will walk you through exactly what a real IRS audit letter looks like, what the notice numbers mean, how to spot scams, and what your first moves should be.
First: Is It Actually From the IRS?
The IRS communicates exclusively by mail. They do not call you, text you, or email you to initiate an audit or demand payment. If someone called you claiming to be the IRS, that is a scam.
A real IRS letter will arrive as a physical piece of mail from the Department of the Treasury, Internal Revenue Service. It will include your name and address, a notice or letter number printed in the upper right corner, your Social Security Number or EIN (partially masked), the tax year under review, a response deadline, and a specific IRS address or fax number for your response.
You can verify any IRS notice by visiting irs.gov/notices and searching the notice number. If the notice number does not appear in the IRS database, treat it as suspicious.
The 3 Types of IRS Audits ? and How to Tell Which One You Have
| Audit Type | How It Is Conducted | What Is Typically Examined | Relative Severity | Typical Duration |
|---|---|---|---|---|
| Correspondence Audit | Entirely by mail | One or two specific items ? a deduction, a credit, unreported income | Lower ? but still serious if ignored | 2?6 months |
| Office Audit | In-person at an IRS office | Multiple items ? Schedule C, rental income, business expenses | Moderate to high | 3?12 months |
| Field Audit | IRS agent comes to your home or business | Comprehensive review ? often multiple years, business records, personal finances | High ? the most intensive audit type | 6 months to several years |
The vast majority of audits are correspondence audits. That does not mean you can handle them casually ? a correspondence audit that gets mishandled can escalate into an assessed balance with penalties and interest, a lien, or worse.
Key Notice Numbers and What They Mean
CP2000 ? Underreported Income Notice
The most common audit-related notice. The IRS received 1099s, W-2s, or other third-party income reports that do not match what you filed. They are proposing a change to your return and additional tax. This is not a bill yet ? it is a proposal. You have the right to agree, disagree, or partially disagree. You typically have 60 days to respond.
CP75 ? Earned Income Credit Audit
The IRS is auditing your Earned Income Tax Credit claim. They want documentation proving you qualify ? proof of residency for qualifying children, relationship documents, and income verification. These audits are handled entirely by mail with strict deadlines. Missing the deadline almost always results in the credit being disallowed.
Letter 531 ? Notice of Deficiency (“90-Day Letter”)
This is serious. The IRS has already examined your return and is formally proposing additional tax. You have 90 days to pay the amount, file a petition with the U.S. Tax Court, or reach an agreement with the IRS. If you miss this window, the IRS can legally assess the tax and begin collection. Do not sit on a Letter 531.
Letter 2205 / Letter 2205-A ? Audit Appointment Request
The IRS is requesting that you schedule an office or field audit appointment. This is the opening of an in-person examination. Having representation before you respond to this letter is extremely important ? what you say and what you send shapes the entire audit.
Letter 3572 ? Collection Alternatives Referral
You have entered collection territory. The IRS is considering levying your wages or bank account and is giving you a chance to request a Collection Due Process hearing. You have 30 days. This is one of the most time-sensitive notices the IRS sends.
What the Letter Will Tell You ? and What to Look For
- Which tax year is under review? Sometimes the IRS audits returns from two or three years ago. Knowing the year tells you which records you need to locate.
- What specific items are being questioned? The letter will identify the line items, income sources, or deductions under review.
- What is the response deadline? Write it down. Put it in your phone. Do not miss it.
- What documents are being requested? Start pulling those records now, even before you decide how to respond.
- What is the proposed amount owed, if any? This is a proposal, not a final bill ? but it tells you the stakes.
IRS Audit Scams: What to Watch For
Scammers have become sophisticated at impersonating the IRS. The real IRS will never:
- Call you to demand immediate payment without first mailing you a notice
- Threaten to send police or immigration to arrest you immediately
- Demand payment via gift cards, cryptocurrency, wire transfer, or prepaid debit cards
- Email or text you about an audit or tax debt
- Require you to pay without giving you the opportunity to question or appeal the amount
If you received a phone call claiming to be the IRS, hang up. A real IRS letter always includes a specific notice number you can look up at irs.gov, a specific IRS campus return address, and contact information through the IRS’s official phone lines ? not a cell phone number or a Google Voice number.
First Steps After You Confirm It Is Real
1. Note the deadline and protect it
The response deadline is the governing date. Missing it can mean losing appeal rights, having a credit automatically disallowed, or having a proposed assessment become a legally binding tax debt. Mark it in every calendar you own.
2. Pull the tax return for the year under review
Get a copy of the original return with all schedules and worksheets. If you do not have a copy, request your tax transcript from the IRS at irs.gov/individuals/get-transcript. Compare your return to what the IRS letter says to understand exactly where the discrepancy is.
3. Gather supporting documentation
The IRS does not take your word for anything ? they want paper. Dig out receipts, bank statements, brokerage statements, charitable donation acknowledgment letters, and business records. The more organized your documentation, the faster and cleaner the audit process goes.
4. Consult a tax professional before you respond
How you frame your initial response, which documents you submit, and what you choose to say can either narrow the audit or invite broader scrutiny. An experienced Enrolled Agent knows how to respond in a way that protects your rights.
Your Right to Representation
Under the IRS Taxpayer Bill of Rights, you have the legal right to retain an authorized representative who can communicate with the IRS for you, respond to notices, submit documentation, and advocate for the most favorable outcome. You do not have to speak to the IRS yourself.
A Federally Authorized Enrolled Agent has unlimited practice rights before the IRS ? any audit, any IRS division, any tax year, any state. They have passed rigorous IRS-administered examinations covering tax law and IRS procedures and are credentialed directly by the federal government.
Representation matters most at the beginning. The earlier you bring in a qualified professional, the more options you have. Once you have submitted documents, made statements, or missed a deadline, the landscape narrows considerably.
What Happens If You Do Nothing
If you receive an IRS audit notice and do not respond by the deadline, the IRS will assess the proposed tax automatically. Penalties and interest begin accruing. The IRS can file a federal tax lien against your property and levy your wages, bank accounts, or other assets. For a Notice of Deficiency (Letter 531), you lose the right to petition Tax Court. None of those outcomes are inevitable ? but all of them become possible the moment you miss that deadline.
You Do Not Have to Figure This Out Alone
If you are holding an IRS audit letter right now, the most important thing you can do is get clarity on exactly what you are dealing with before the clock runs out. Luisa N. Victoria is a Federally Authorized Enrolled Agent with deep experience in IRS audit representation ? from simple correspondence audits to complex multi-year field examinations. She represents clients across all 50 states and handles all communication with the IRS directly.
Learn more about how she can protect you on the Audit Representation page, or take the first step right now.