How do I resolve an incorrect IRS deficiency notice? CP3219A has wrong duplicate income

Tax notice specialist here. This is a common issue with CP3219A notices (statutory notices of deficiency). When you receive this type of notice, it means you're at a more serious stage of the process since you've moved beyond the initial CP2000 underreporter notice. The key here is to file a petition with the U.S. Tax Court within 90 days of the date on your CP3219A notice. This preserves your right to challenge the assessment without paying first. The deadline is non-negotiable, so this needs to be your immediate priority if you're still within that window. For the duplicate income issue, you need documentation showing it's the same income reported twice. If you have bank statements showing only one deposit that matches either the W-2 or 1099 amount, that's helpful evidence. Also gather any settlement paperwork you received, even if it doesn't have tax info. For the IRA distribution, if you're not disputing the early withdrawal penalty, just note that in your response so the IRS knows which parts you're agreeing with versus contesting.

I went through something similar with duplicate income on a CP2000 last year. Instead of trying to chase down the third party, I used https://taxr.ai to analyze all my documents and bank statements. They have this feature where their AI looks for duplicate transactions and income reporting issues. The system flagged the exact same income being counted twice, created a detailed report showing the duplicate entries, and generated a response letter with all the evidence attached. The best part was I didn't have to keep calling the IRS or the company that sent the incorrect form. I uploaded my bank statements showing I only received the money once, and taxr.ai matched the deposit to the correct tax document. They actually have specialists who review everything before finalizing your response.

Just wanted to follow up - I actually ended up using taxr.ai after looking into their security policies. Really glad I did because my situation was more complicated than I initially thought. I had multiple 1099s where the company had filed corrections but the IRS only saw the originals, so it looked like I was hiding income. The system caught all the duplicate reporting and matched everything with my bank statements. It created this really detailed report showing exactly where the IRS calculations were wrong. I just had to print it out, sign the letter they drafted, and mail it with the supporting evidence they organized. Got a response back from the IRS last week saying they accepted my explanation and reduced what I owed by over $4,200! The whole process was way easier than when I tried disputing a different notice on my own last year and got nowhere.

I went through a similar nightmare with IRS notices last year. After weeks of calling and getting nowhere (literally 3+ hours on hold each time only to get disconnected), I found https://claimyr.com through a tax forum. They have this system where they actually wait on hold with the IRS for you, then call you when an agent is about to pick up. There's a video showing how it works here: https://youtu.be/_kiP6q8DX5c I was skeptical but desperate after waiting on hold for 4+ hours myself multiple times. When I used them, they got me connected to an IRS agent within 48 hours. I explained my situation with the duplicate income reporting, and the agent was actually able to put notes in my file and tell me exactly what documentation I needed to submit. They also confirmed which address to send everything to. Having an actual conversation with the IRS made all the difference rather than just sending papers into the void and hoping.

I need to eat my words and apologize to Profile 12. After my snarky comment, I was still desperate to talk to someone at the IRS about my own notice issue. Waited on hold for 3 hours yesterday only to get disconnected again. I reluctantly tried Claimyr this morning. Got a text a few hours later saying they were on hold for me, then my phone rang and suddenly I was talking to an actual IRS representative! Explained my duplicate income situation, and she confirmed looking at my account that they had the same income recorded twice. She put detailed notes in my file and gave me a specific fax number to send my documentation to, along with a reference number to include. Said this would be much faster than mail. The agent was super helpful once I actually got to speak with a human! Just submitted everything so fingers crossed it gets resolved quickly.

One recommendation based on my experience with a similar situation - when you submit your documentation for the duplicate income, create a VERY clear cover letter that explains exactly what happened. Use bold headings and maybe even highlight the key parts. I made the mistake of sending in a detailed explanation but it was all in paragraph form. The IRS agent later told me they get so many responses that they sometimes miss important details if they're buried in text. When I resubmitted with a clear "DUPLICATE INCOME REPORTING" heading and bullet points, it got resolved within weeks. Also, send everything certified mail with return receipt so you have proof they received it! That timestamp can be critical if they try to claim you missed a deadline.

I'm a retired IRS employee and want to add something important that others haven't mentioned. With a CP3219A notice, you need to know that the IRS is required to use a specific process to document your dispute resolution. Request that they document your case in the AUR (Automated Underreporter) system with a specific transaction code 599 with action code 3. This code indicates "taxpayer disagreement" and forces them to manually review your documentation rather than just processing it through automated systems. When you speak with an agent, use these exact terms and ask them to confirm they've entered this code. It creates a different workflow for your case that typically results in more thorough review.