Closing Cases to Appeals

A formal protest comes only in response to the certified 30-day letter. Responses to the initial examination report don't include formal protests, as the initial examination report doesn't convey appeal rights.

If the taxpayer responds to the 30-Day letter with a protest to appeal the issues proposed in the 30-Day letter, the IRS must abide by that request, if certain requirements are satisfied:

There is sufficient time remaining on the statute.

FUNCTION

AMOUNT OF TIME REQUIRED

Appeals

Requires that there must be at least 365 days remaining on the SOL at the time Appeals receives the case.

TE/GE Closing Group

Will not accept any protested case with less than 395 days remaining on the statutory period of limitations for assessment (330 days for cases previously returned to the examination group by Appeals)

The protest is valid. Verify that a valid formal protest contains the required elements as outlined in:

Publication 3498, The Examination Process

Publication 5 for Claims, Form 1040 or Form 1120 protests

Publication 1020 for Form 990-T, Form 5330 and Form 5500 protests

Publication 892, How to Appeal an IRS Decision on Tax Exempt Status

Contents should include:

The taxpayer's name, address, and a daytime telephone number.

A statement that the taxpayer wants to appeal the findings to the Appeals Office.

A copy of the letter showing the proposed changes and findings (or the date and symbols from the letter).

The tax periods or years involved.

A list of the changes that are unagreed and reasons for disagreement.

The facts supporting the taxpayer's position on any unagreed issues.

The law or authority, if any, on which the taxpayer is relying.

The taxpayer's signature under penalties of perjury.

The jurat statement is "Under the penalties of perjury, I declare that I examined the facts stated in this protest, including any accompanying documents, and, to the best of my knowledge and belief, they are true, correct, and complete." If the statement is modified or missing, Appeals doesn't recognize the protest as a formal protest.

If the representative prepared and signed the protest, the representative must substitute a declaration stating:

That he or she submitted the protest and accompanying documents.

Whether he or she knows personally that the facts stated in the protest and accompanying documents are true and correct.