IRS Letter 1085 – Proposed Assessment


The IRS has prepared an unfiled tax return on behalf of the business and proposed taxes due.

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Type of Notice: Late return

Most common tax problem area: Business unfiled returns

Other tax problem areas: Unpaid business taxes, Business tax penalties

Why you received IRS Letter 1085

  1. You did not file a tax return for a tax period in which the IRS believes you have a filing requirement.
  2. The IRS determined a return should be filed and based on information in their system, prepared a return.
  3. The IRS sends Letter 1085 to notify you they have prepared a tax return on behalf of your business for the tax period on the notice. You have the option to agree to the return as prepared by the IRS, to file an original return or to contact the IRS with additional information.

Your options to address IRS Letter 1085

  1. File a return
  2. Clear up an account error
  3. Dispute the penalties
  4. Make arrangements to pay

Notice deadline: 30 days

If you miss the deadline: The IRS will process the attached return and send you a bill for the taxes, penalties and interest.

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