The IRS uses Notice CP134B to inform you that they have adjusted your account because they believe there is a discrepancy between their records of your tax deposits for Form 941 and what you reported on your return.
The Notice shows a balance due. If the IRS lowers your refund to pay for the adjustment, they send a Notice CP134R.
This could be a problem since the IRS penalties are so high they can damage a business.
However, the IRS could have applied some of your payments to the wrong period or used it to pay for back taxes. Therefore, it is important to compare the IRS records with your records and determine where the IRS has placed your payments.
Respond to Notice CP134B
First, order the Account Transcripts for ALL time periods from the IRS. Then compare your deposits with the Account Transcripts. If you use a payroll accounting service you'll have to get their deposit records.
Please follow the Business Tax Prep Steps prior to your consultation with TaxHelpLaw.