It’s a gut punch: you open your mail and see a notice from the IRS claiming you owe a tax balance. The problem? You already paid it.
This situation is more common than people think, and it doesn’t always mean you’ve done something wrong. Sometimes it comes down to processing delays, misapplied payments, or missing documentation. If you received an IRS notice for a balance due and you know you paid, here’s what you should do next.
Step 1: Don’t Panic, but Act Fast
IRS systems don’t always update in real time. Payment mismatches can result in automated notices. The most important thing is not to ignore the notice.
- Read the IRS notice carefully. It should state the amount due, the tax year in question, and the type of tax.
- Compare the IRS balance with your records. Look at your IRS payment confirmations, bank statements, or transcripts to verify the payment.
Need help reading an IRS notice? Check our Tamarac guide: How to Respond to IRS Letters
Step 2: Gather Your Proof of Payment
To challenge a balance due notice, you’ll need solid proof. Acceptable documentation includes:
- IRS confirmation number if you paid online via IRS Direct Pay or EFTPS
- Canceled checks or bank statements showing payment to “United States Treasury”
- Copy of your tax return showing the amount owed and marked “Paid”
- Any correspondence or receipts from your tax preparer
Step 3: Contact the IRS (or Let Us Do It)
Once you have your documentation, you can:
- Call the IRS at the number on your notice
- Fax or mail your payment confirmation
- Ask your tax professional to call the IRS Practitioner Priority Service on your behalf
Important: IRS agents won’t fix this automatically—you need to bring the payment to their attention and provide proof.
Need representation? Schedule a consultation: IRS Notice Help for Tamarac Residents
Common Causes of This Issue
- Payment applied to the wrong tax year
- Payment applied under the wrong SSN or EIN
- IRS still processing mailed payments or amended returns
- Third-party error by preparer or payroll company
Polaris clients benefit from accurate tracking, secure submission, and fast IRS follow-up. Learn more about our modern tax firm systems.
If the IRS Still Insists You Owe
If your payment records are clear but the IRS won’t acknowledge them, you have rights:
- File a Form 911 to request assistance from the Taxpayer Advocate Service
- Submit a Written Protest with documentation
- Request a Collection Due Process Hearing if collections begin
In some cases, IRS penalties may have accrued unfairly. You may be eligible for Penalty Abatement.
Final Word: Don’t Let Notices Linger
Every day you wait is another day the IRS assumes their numbers are right. If you know you paid, it’s up to you (or your tax professional) to correct the record.
Have questions? We help taxpayers across Florida, North Carolina, and beyond respond to IRS errors quickly and effectively.
Let Polaris set the record straight. Schedule your consultation