Administrative Review
The Audit
Types of Audit
- Selection for Audit
- Correspondence of Audit
- Office Audit
- Field Audit
Authority of Examinig Revenue Agent
- Treasury Regulations
- Revenue Rulings
- I.R.S. Manual
Review by Examining Agent Supervisor
II.B. Administrative Review
The Administrative 30-Day Letter (Pre-assessment)
The proposed deficiency 30-Day letter
- Not a statutory notice
- Several other 30-Day letters
Reasons for receipt of 30-Day letter
- Disagree with findings of auditor
- Ignore contact
Content of 30-Day letter
- Pay proposed deficiency
- Request conference
Form of response
- Up to $2,500 of liability - Oral request
- Over $2,500 of liability - Respond on form
- Over $10,000 - Formal protest
Mission of Appeals office
- Resolve controversy without litigation
- Fair and impartial: two hats
- Enhance voluntary compliance
- Generally new issues not raised
- Hazards of litigation
Jurisdiction of Appeals Office
- Generally exclusive and final authority
- Exceptions
- Docketed cases
- Religious, political, moral, etc.
- Criminal fraud
- Refunds Exceeding $1,000,000
- Certain Banruptcy