Taxpayer recently received an IRS CP2000 notice proposing additional tax of more than $250,000 related to the sale of the Taxpayer’s primary residence. The notice alleged substantial unreported income and sought to impose a staggering assessment.

DeWitt Law immediately identified critical errors in the IRS’s proposed assessment. Our team carefully reconstructed the transaction details, highlighted the primary residence exclusion under federal tax law, and documented the accurate basis and closing costs that the IRS had overlooked. We submitted a detailed response supported by settlement statements, closing disclosures, and legal analysis showing that the IRS’s conclusions were fundamentally flawed.

Today, the IRS issued a letter agreeing with our position and reversing the entire $250,000+ proposed tax assessment. This outcome eliminated the taxpayer’s potential liability in full—bringing immediate peace of mind and financial relief.

This case underscores the importance of skilled tax defense. IRS notices can be intimidating, but with knowledgeable advocacy, taxpayers can prevail. At DeWitt Law, we fight to ensure our clients are not burdened with unjust assessments, no matter the size.