Case Closed! currently Not Collectable CNC
Letter 4223 is the Letter IRS sends to let you know your case has been currently closed. HARDSHIP
What is a LTR 2645C Notice from IRS
This is a notice or letter from the IRS telling the taxpayer that they have received the correspondence sent into IRS.
Many times the IRS has not had time to work the case and this letter serves to let the client / taxpayer know that their case is stilling being worked by the IRS.
Do not panic, IRS just has too much work.
If you have continued problems or need immediate tax help, call us today.
We are former IRS Agents.
What is Code Section 1201
Code 1201 is an administrative code that means there is a delay in processing your return.
While your return was selected, something triggered a desk audit, and is an IRS agent will review it. In most situations it causes one-two weeks of an additional processing time.
According to the IRS, 1201 is a “catch all” code when no other code applies. It is generated by the computer so if you call IRS – the agent might not know what exactly triggered the review. It may be random selection as well.
This is not an error and not an audit – this is a very normal IRS process – the assigned IRS agent will review your return and in most situation it will be processed without any problem.
I do not think that you need to worry at this moment – just wait couple weeks and see if the problem resolved.Everything in life that is delayed is a 1201, a life lesson
Top Ten IRS Questions
Top Frequently Asked Questions
1. What are the tax changes for this year?
2. Is there an age limit on claiming my children as dependents?
3. How much does an unmarried dependent student have to make before he or she has to file an income tax return?
4. If I claim my daughter as a dependent because she is a full-time college student, can she claim herself as a dependent when she files her return?
5. Can I receive a tax refund if I am currently in a payment plan for prior year’s federal taxes?
6. For head of household filing status, do you have to claim a child as a dependent to qualify?
7. What is the American Recovery and Reinvestment Act (ARRA) of 2009?
8. What should I do if I made a mistake on my federal return that I have already filed?
9. What is a split refund?
10. How do I know if I have to file quarterly individual estimated tax payments?
IRS Statistics for 2010
Electronically filed tax returns are on track with last year and overall refunds are running nearly 10 percent higher so far in 2010, according to statistics issued today by the Internal Revenue Service.
The statistics issued today, covering the period through March 12, show that while the overall number of tax returns filed this year is down slightly, the percentage of returns using e-file remains strong. More than 82 percent of the 69 million returns received this year have come in via e-file. Home usage of e-file is up almost 7 percent compared to this time last year.
Additionally, the average federal refund totaled $3,036, an increase of $266 compared with the same period a year ago.
The refund increase follows a number of federal tax incentives enacted last year as part of the American Recovery and Reinvestment Act, such as the home buyer credit and the American Opportunity Credit.
?There are several new credits and deductions this year, so we encourage taxpayers to see if they qualify when they fill out their tax return,? said IRS Commissioner Doug Shulman. ?To get their refunds quicker, the IRS reminds taxpayers that the fastest, easiest way is to e-file and use direct deposit.?
Taxpayers can check their eligibility for these credits and deductions on the IRS Web site at IRS.gov/recovery. This special section also contains instructions on how to claim the available tax incentives and provides answers to frequently asked questions. Detailed information is available on the:
Home buyer Credit
Making Work Pay Credit
Economic Recovery Payments
Earned Income Tax Credit
American Opportunity Tax Credit
Sales and excise tax deduction for new car purchases
Energy incentives for homeowners
2010 FILING SEASON STATISTICS
Cumulative through the weeks ending 03/13/09 and 03/12/10
Individual Income Tax Returns
2009
2010
% Change
Total Receipts
70,807,000
68,743,000
-2.9%
Total Processed
67,595,000
64,284,000
-4.9%
E-filing Receipts:
TOTAL
56,665,000
56,802,000
0.2%
Tax Professionals
36,751,000
35,509,000
-3.4%
Self-prepared
19,914,000
21,293,000
6.9%
Web Usage:
Visits to IRS.gov
126,091,068
121,091,068
-4.2
Total Refunds:
Number
61,042,000
57,779,000
-5.3%
Amount
$169.1
billion
$175.4
billion
3.7%
Average refund
$2,770
$3,036
9.6%
Direct Deposit Refunds:
Number
48,643,000
47,893,000
-1.5%
Amount
$146.4
billion
$154.8
billion
5.7%
Average refund
$3,010
$3,232
7.4%
Should you have any questions call Fresh Start Tax