The main focus of our practice is income tax representation for individuals. Many taxpayers who contact us at our Raleigh, NC office often reach out in panic because they received a notice from the North Carolina Department of Revenue (NCDOR) requesting money. To address the issue it can first be helpful to understand what the NCDOR notices mean and what should be done upon receipt of an NCDOR notice.
Below is a highlight of the most common notices received by North Carolina Taxpayers:
- N0000204 — FIRST REMINDER: Notice of Individual Tax Assessment (sample notice)
- N0002203 — SECOND REMINDER: Notice of Collection
- N0002401 — FINAL REMINDER: Notice of Collection Fee
- Notice to File a Return – Missing Return (sample notice)
- Notice of Intent to Assess
What should be done about the NCDOR notice?
The first three NCDOR notices above are requesting that you pay the amount of taxes owed in addition to any interest and/or penalties that may have been added. Ignoring these notices will result in enforced collection actions including wage garnishments, the clearing of bank account balances, tax liens and much worse. If unable to pay in full, other options to avoid enforced collections include payment plans (installment agreements) or other collection alternatives such as an offer-in-compromise.
The last two NCDOR notices are requesting that you go ahead and submit unfiled returns that are past due. Failure to file these returns will result in the NCDOR calculating a return for you, often to your disadvantage. Once prepared and a balance is assessed you will begin to receive the NCDOR collection notices listed above which will result in enforced collections if not properly addressed.
If you or someone you know needs help understanding NCDOR notice or if they have unfiled returns, contact us so that we can help them resolve the issue. We can be contacted by phone at (919) 792-8511 or you can email us directly using this link.
Lauren Massie, CPA, PLLC serves clients in North Carolina throughout the Greater Triangle Area including cities such as Raleigh, Wake Forest, Cary, Durham, Chapel Hill, Hillsborough, Youngsville, Franklinton, Garner, Knightdale, Zebulon, Angier, Clayton, Louisburg, and Wendell.