We’re auditing your tax return and need documentation from you to verify the Premium Tax Credit (PTC) that you claimed. We are holding all or part of your refund, pending the result of this audit, because of this discrepancy with your PTC.
What you need to do
- Read your notice and the enclosed Form 14950, Premium Tax Credit Verification, carefully. They explain the information you must send to us.
- Provide copies of the documentation we request to verify the items that we’re auditing.
- Complete the response form and return it along with your documentation.
You may want to
- Review this notice with your tax preparer.
- Call us for assistance at the toll-free telephone number listed on the top right corner of your notice.
- Review the rules for claiming the premium tax credit and make sure that you are eligible for the credit.
- For additional information on the premium tax credit, see Publication 974, Premium Tax Credit.
Answers to Common Questions
Why was my return selected for audit?
While most returns are accepted as filed, some are selected for examination. The IRS examines (or audits) some federal tax returns to determine if income, expenses, and credits are being reported accurately. The IRS selects returns for examination using various methods which include random sampling, computerized screening, and comparison of information received by the IRS such as Forms W-2 and 1095-A. Having your return selected for examination does not suggest that you made an error or were dishonest.
What do I need to send?
Refer to Form 14950 we sent with your notice. It explains what supporting documentation to send.
What if I didn’t receive a Form 1095-A?
Contact the Health Insurance Marketplace for an original or a corrected statement.
What if I can’t provide the requested documentation?
We will disallow the premium tax credit and send you an examination report that shows the proposed changes to your tax return.
What if I didn’t file a tax return claiming the premium tax credit and someone else is using my name and social security number?
Contact us at the number listed on the top right corner of your notice. You can also refer to the IRS Identity Theft resource page for more information.
Can I file my tax return while I am being audited?
Yes, you should continue to file all required tax returns before the due date to avoid additional penalties and interest.
Tips for next year
Notify the Health Insurance Marketplace about changes in circumstances, such as income and family size changes, as they happen to allow the Marketplace to update the information used to determine your expected amount of the premium tax credit and adjust any advance payment amount.
Consider filing your taxes electronically. Filing online can help you avoid mistakes and find credits and deductions that you may qualify for. In many cases you can file for free. Learn more about e-file.
Tax publications you may find useful
- Publication 1, Your Rights as a Taxpayer (PDF)
- Publication 17, Your Federal Tax Return (PDF)
- Publication 3498-A, The Examination Process (PDF)
- Publication 5120, Your Credit, Your Choice – Get it Now or Get it Later (PDF)
- Publication 5152, Report changes to the Marketplace as they happen (PDF)
- Full list of tax forms and instructions
How to get help
- Call the 1-800, 1-866 or 1-888 number listed on the top right corner of your notice.
- Authorize someone (e.g., accountant) to contact the IRS on your behalf using Form 2848 (PDF).
- See if you qualify for help from a Low Income Taxpayer Clinic.
- Learn more about the Taxpayer Advocate Service.
- You can get a transcript of your return at Get Transcript. You also can get one by completing and sending us a Form 4506-T, Request for Transcript of Tax Return (PDF).