Have you received a notice like this from the IRS?

 

If so, you're not alone. Several of our clients have received these notices recently and we anticipate more are on the way. In discussion with other tax preparers nationwide, this is a very widespread issue.

 

What happened?

Unfortunately, the IRS shredded millions of unprocessed documents during 2021 and deleted returns off servers. The reasoning was that room needed to be made for 2021 income tax returns. The destruction was discovered by a US Treasury audit in Ogden, UT and reported in the national news in 2022 - see here for a CNBC report. Senate Finance Committee member Mike Crapo (R-ID) wrote a guest column published in June 2022 about this same topic.

 

What do I need to do?

If you have a copy of the 941 the IRS says is missing, send in a newly-signed copy with 'COPY' written across the top in RED to the address on the notice. If Accurate Accounting LLC filed your return, a copy is available in our client portal. Please let us know if you have trouble locating the file and we'll be happy to assist you.

 

Please rest assured this is NOT an error on our part; this is 100% the fault of the IRS acting before thinking. As always, please let us know if you receive any correspondence from the IRS so that we can help you chart the best course of action in your situation.