TurboTax / Tax Calculators & Tips / All Tax Guides / IRS Tax Return / Video: What Are Tax Appeals?

Video: What Are Tax Appeals?

Updated for Tax Year 2015


Tax appeals are often necessary in the unlikely case you are audited, and it's a surprisingly informal and quick process. Understand how to appeal a tax audit with information from TurboTax in this video on annual tax filing.

Video transcript:

Hello, I'm Jeremy from TurboTax with some important information about appealing an IRS audit.

Has the IRS chosen your tax return for an audit? Or are you currently disputing an IRS adjustment that increases the amount of tax you owe? If so, you can still try to reduce your taxes by appealing that decision. When the IRS audits your tax return and disagrees with the deduction or credit you take, or even claims that you left out some income, it's decision is not final.

Within the IRS there's an independent appeals division that will listen to your side of the story and decide whether the outcome of your audit was correct. Appealing an IRS decision is not as difficult as it may sound. The process is very informal and relatively quick.

To start the process, just follow the instructions in the final letter you receive from the IRS at the conclusion of the audit. Shortly after you will receive a date to appear at a conference. When you attend the conference an impartial officer will listen to both arguments. If you prefer not to represent yourself, you can hire a tax professional to attend the conference with you. Although this professional can be an attorney, you can also bring a CPA or other enrolled agents since this is not a legal court case.

If you disagree with the appeals decision you can still have your case heard in court. At that point you will need to get a lawyer involved. Preferably one with experience in tax cases. If you prepare your taxes with TurboTax, you'll have the opportunity to purchase audit defense coverage which gives you full representation by a tax expert in the unlikely event that you are audited. For more information about this and other tax topics, visit TurboTax.com.

Get every deduction you deserve

TurboTax Deluxe searches more than 350 tax deductions and credits so you get your maximum refund, guaranteed.

For only $54.99$34.99*
Start for Free

The above article is intended to provide generalized financial information designed to educate a broad segment of the public; it does not give personalized tax, investment, legal, or other business and professional advice. Before taking any action, you should always seek the assistance of a professional who knows your particular situation for advice on taxes, your investments, the law, or any other business and professional matters that affect you and/or your business.

Security is built into everything we do
Here's how
* Important Offer Details and Disclosures
  • Try for Free/Pay When You File: TurboTax online and mobile pricing is based on your tax situation and varies by product. Free 1040EZ/A + Free State offer only available with TurboTax Federal Free Edition; Offer may change or end at any time without notice. Actual prices are determined at the time of print or efile and are subject to change without notice. Savings and price comparisons based on anticipated price increase expected 3/18/16. Special discount offers may not be valid for mobile in-app purchases.
  • TurboTax CD/Download products: Price includes tax preparation and printing of federal tax returns and free federal efile of up to 5 federal tax returns. Additional fees apply for efiling state returns. E-file fees do not apply to New York state returns. Savings and price comparison based on anticipated price increase expected 3/18/16. Prices subject to change without notice.
  • Anytime, anywhere: Internet access required; standard message and data rates apply to download and use mobile app.
  • Fastest refund possible: Fastest tax refund with efile and direct deposit; tax refund timeframes will vary.
  • Pay for TurboTax out of your federal refund: A $34.99 Refund Processing Service fee applies to this payment method. Prices are subject to change without notice.
  • About our TurboTax Product Experts: Customer service and product support vary by time of year.
  • About our credentialed tax experts: Live tax advice service is available via phone for your toughest tax questions; fees may apply. Service, experience levels, hours of operation and availability vary, and are subject to restriction and change without notice. Not available for TurboTax Business customers.
  • #1 best-selling tax software: Based on aggregated sales data for all tax year 2014 TurboTax products.
  • Most Popular: TurboTax Deluxe is our most popular product among TurboTax Online users with more complex tax situations.
  • Benefit Assist: After you file, TurboTax automatically shows you a full list of government benefits you may qualify for, like Food Stamps or reduced phone & utilities. Plus, we help you apply, saving you time and making it easier than ever to get more money! Estimate based on calculation of Benefit Assist users from tax year 2013 and published reports of average benefit and savings amounts from federal and state programs. Benefit Assist users who received one or more federal or state benefits received on average $576 (based on survey March-June 2015). Actual amounts and qualifications based on your individual situation; some individuals will not qualify. Feature may not be available for all customers.