USTaxPenaltySaverWhat is Audit Reconsideration?
Audit reconsideration is an informal IRS process that allows you to dispute audit findings without going to Tax Court. If you disagree with how the IRS assessed additional taxes, penalties, or interest following an audit, you can request reconsideration.
This process is especially useful if you didn't respond to the original audit, have new documentation, or believe the IRS made calculation errors. The IRS Campus or service center that handled your audit will review your case with the new information you provide.
When Can You Request Audit Reconsideration?
You may be eligible for audit reconsideration if any of the following apply:
You Didn't Respond to the Audit
You never received the audit notices or were unable to respond in time. Perhaps you moved, were hospitalized, or the notices went to the wrong address.
You Have New Information
You've found documentation that wasn't available during the original audit - bank statements, receipts, canceled checks, or other records that support your position.
The IRS Made a Calculation Error
The IRS incorrectly computed your tax, applied the wrong tax rate, or made mathematical errors in determining the additional assessment.
You Disagree with the Findings
You believe the IRS examiner misapplied tax law, disallowed legitimate deductions, or incorrectly characterized income.
Documentation Was Lost or Unavailable
Your records were destroyed in a disaster, lost due to circumstances beyond your control, or held by a third party who couldn't provide them in time.
Required Documents
You'll need to include the following with your request:
- 1Copy of your original tax return for the year(s) in question
- 2Copy of the IRS audit report or notice (CP2000, CP2501, etc.)
- 3All IRS notices you've received about this audit
- 4Supporting documentation for each item you're disputing
- 5A detailed written explanation of why you disagree
The Audit Reconsideration Process
Gather Your Documents
Collect all supporting documentation - tax returns, audit reports, IRS notices, receipts, bank statements, and any new evidence.
Write Your Request Letter
Prepare a clear, detailed letter explaining why you disagree with the audit findings and what evidence you're providing. Our generator creates this for you.
Mail to the IRS Campus
Send your complete package via certified mail with return receipt requested to the IRS Campus that handled your audit (Austin, Cincinnati, or Fresno).
Wait for IRS Review
The IRS will review your request and supporting documents. They may contact you for additional information. Response time is typically 60-90 days.
Important Things to Know
- Submit your request within 3 years of the assessment date for best results
- Audit reconsideration does NOT stop collection activity - you may need to request a collection hold separately
- If penalties were assessed, you may also be eligible for penalty abatement (Form 843)
- Always send via certified mail and keep copies of everything you submit
Audit Reconsideration FAQs
While there's no strict deadline, requests made within 3 years of the assessment date have a much better chance of success. After 3 years, the IRS may be less willing to reconsider, and you may face statute of limitations issues.
No, audit reconsideration does NOT automatically stop collection activity. You may need to separately request a collection hold or file an appeal using Form 12153 (CDP hearing) if you're facing levy or lien notices.
Send to the IRS Campus that handled your original audit. Generally: Austin for southern/eastern states, Cincinnati for northeastern/midwestern states, and Fresno for western states. Our letter generator identifies the correct address.
If denied, you may still have options: appeal to the IRS Office of Appeals, file an amended return, or in some cases, petition the Tax Court if the statutory period hasn't expired.
Yes! This is one of the most common reasons for audit reconsideration. If you didn't receive notices, moved, or were unable to respond for legitimate reasons, you can explain this in your request.
No, you can submit a reconsideration request yourself. However, for complex cases involving significant amounts, consulting a tax professional may be beneficial. Our letter generator provides a solid starting point.