Need help with IRS Audit Reconsideration process - how long does it take?

I'm in a really tough spot with the IRS and need some advice. Back in 2019, I got audited for my 2016 tax return but never received any notices about it. I was constantly relocating for school during that time, so I guess the notices never reached me. After finally finishing my degree and landing a job in 2021, about 7 months into working I got slapped with a tax levy notice out of nowhere. When I eventually got my hands on the audit report, I was shocked - they completely disallowed all Cost of Goods Sold for my small woodworking business and ignored the cost basis for all my stock transactions. Basically, they treated all my business sales as pure profit and counted every stock sale as if I paid $0 for the stocks originally. The additional tax they calculated was around $18,500! By the time I found out about all this, it was already past the deadline to appeal. About 14 months ago, I hired a CPA to file for audit reconsideration. About a month after filing, the IRS sent a letter saying to wait 60 days. Since then, I've been getting these "we need 30 more days" letters approximately every 8 weeks. Meanwhile, my paycheck is being garnished and I'm left with barely $980 a month to live on - not enough for rent, food, and basic necessities. I'm drowning here and don't know what to do. How long does this reconsideration process typically take? Is there anything I can do to speed it up? I'm starting to feel completely hopeless about ever resolving this.

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21 comments

Chloe Anderson

•8M

The audit reconsideration process can be frustratingly slow, especially with the backlog the IRS has been facing recently. Typically it can take anywhere from 6-12 months, but many cases are taking longer right now. The good news is that you do have options to address the financial hardship. First, you can request a temporary release of the levy based on economic hardship. Form 911 (Taxpayer Advocate Service) may help expedite this. You'll need to document that the levy is preventing you from meeting basic living expenses. Second, you might qualify for Currently Not Collectible (CNC) status if your income is barely covering essential living expenses. This would pause collection activities while your reconsideration is pending. Third, look into an Installment Agreement with a partial payment option based on your ability to pay. This can replace the levy with a manageable monthly payment. Keep detailed records of all communications, and consider calling the IRS directly about your hardship. Request to speak with a manager if the representative isn't helpful.

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Chloe Anderson

•8M

Filing Form 911 won't interfere with your reconsideration - it's actually designed to work alongside existing cases where taxpayers are experiencing significant hardship. The Taxpayer Advocate Service can often help move things along when standard IRS channels are slow. For Currently Not Collectible status, yes, you'll need to complete Form 433-F (Collection Information Statement) which requires documentation of your income, expenses, assets and liabilities. Be thorough and accurate with this form - include all necessary expenses like rent, utilities, food, medical costs, and transportation. The IRS uses this to determine if you truly can't pay while maintaining basic living standards.

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Diego Vargas

•8M

I had a somewhat similar nightmare with the IRS last year. After months of getting nowhere and having my wages levied, I found this website called taxr.ai (https://taxr.ai) that literally saved me. It analyzed my tax documents and helped me build a proper reconsideration case. You upload your documents, and it gives you a detailed analysis of what's wrong and what you need to fix. The system pointed out several issues with how the IRS handled my case - including completely missing some crucial expenses that were clearly documented. What I found super helpful was that it gave me specific language to use in my communications with the IRS based on actual tax code and procedures. My reconsideration was approved within 3 months after I submitted the materials the tool helped me prepare.

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Diego Vargas

•8M

You don't necessarily need all original documents. The tool helps you identify alternative ways to substantiate expenses - like bank statements, credit card reports, or even reconstructing reasonable estimates based on industry standards. It gives you specific guidance on what the IRS will accept as secondary proof. The waiting is still part of the process, but the difference is the quality of what you submit. The IRS is much quicker to approve reconsiderations when documents are organized properly and presented with the right supporting arguments. My first submission got me nowhere for 8 months, but after using taxr.ai to rebuild my case with proper documentation and citing specific tax regulations, they processed it in less than 90 days.

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Anastasia Fedorov

•8M

Just wanted to follow up - I was skeptical but tried taxr.ai after hitting another dead end with the IRS. Holy crap, what a difference. The system actually identified that my stock sales were being double-counted AND found a procedural error in how the IRS handled my case. The site created this super detailed document that explained exactly why the assessment was incorrect, with references to specific IRS regulations. I sent this in with my reconsideration paperwork and got a response in 6 weeks instead of 6 months. They reduced my tax bill by almost 70%! And unlike dealing with a CPA (who cost me $1200 and accomplished nothing), I could actually understand the explanation. Definitely worth checking out if you're stuck in audit reconsideration hell like I was.

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Sean Doyle

•8M

After seeing your situation, I had to share my experience. I was stuck in a similar nightmare with the IRS garnishing my wages. After dozens of impossible-to-reach-a-human phone calls, someone told me about Claimyr (https://claimyr.com). You can see how it works here: https://youtu.be/_kiP6q8DX5c It got me connected to an actual IRS agent in about 15 minutes when I'd spent WEEKS trying on my own. The agent was able to put a temporary hold on my levy while my reconsideration was being processed. That alone saved me from having to move back in with my parents at age 37. The IRS agent I spoke with also gave me the direct fax number for the reconsideration unit and told me exactly what to write on my cover letter to get faster attention. Would never have gotten that info without actually talking to a human.

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Sean Doyle

•8M

It uses a system that keeps dialing for you and navigating the phone menus until it gets through to an agent. Then it calls you and connects you. I was skeptical too, but it literally just automates the tedious redial process that would take hours or days. There's no magic to it - they're just using technology to handle the frustrating part of actually reaching the IRS. And definitely not everyone knows about it, which is probably why it still works so well. The IRS actually answers millions of calls, it's just that tens of millions are trying to get through. This service essentially puts you at the front of the line instead of having to keep redialing yourself.

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Luca Romano

•8M

I need to apologize and update my skeptical comment. After another frustrating week of trying to reach someone at the IRS about my own levy situation, I tried Claimyr out of desperation. Within 23 minutes I was talking to an actual IRS agent. I was absolutely shocked. The agent was able to review my file and saw that my reconsideration had actually been approved THREE MONTHS AGO but the collections department hadn't been notified. She put an immediate release on my levy and I should be getting a refund for the excess amounts they took! If I hadn't been able to speak with someone, I would have continued getting levied despite my case already being resolved in my favor. Sometimes actually talking to a human makes all the difference.

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Nia Jackson

•8M

Early morning (right when they open) is typically the best time to call - around 7:00-7:30am local time. If you still can't get through, try contacting your local office directly instead of the main number. You can find their direct number on the IRS website by searching "Contact my local taxpayer advocate" and entering your zip code. For the online transcript, you'll need to create an account with ID.me if you don't already have one. The verification process is pretty strict for security reasons, but once you're in, you can see everything happening with your account - including internal notes sometimes. It's much more current than the letters they send.

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NebulaNova

•8M

Having been through audit reconsideration myself, I strongly recommend faxing a hardship letter to the specific department handling your case. Make it ONE page only, explain the immediate financial impact (can't pay rent, etc), and request expedited processing. Include your case/reference number at the top. In my experience, a short fax got more attention than calls or multi-page letters. The IRS is drowning in paperwork, so making your hardship clear and concise can help get your case pulled from the stack.

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Benjamin Carter

•2M

The fax number for audit reconsideration is usually on your original audit letter or any correspondence you've received about the reconsideration case. If you can't find it, try calling the general IRS number (1-800-829-1040) and ask them to transfer you to the audit reconsideration unit - they can give you the direct fax number for your specific case. Also, when you fax the hardship letter, include a cover sheet with "URGENT - ECONOMIC HARDSHIP" at the top in bold. Include your SSN, case number, and phone number where they can reach you immediately. Sometimes they'll call within 24-48 hours if they see genuine hardship documented properly. Don't wait for your CPA on this - you have the right to communicate directly with the IRS about your own case, especially regarding collection actions that are causing immediate financial distress.

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Luca Esposito

•2M

I'm so sorry you're going through this financial nightmare. The IRS audit reconsideration process is painfully slow, but there are definitely steps you can take to get some relief while you wait. Since you're only left with $980/month after the levy, you absolutely qualify for economic hardship relief. Here's what I'd recommend doing immediately: 1. File Form 911 with the Taxpayer Advocate Service - this is specifically designed for cases like yours where collection actions are preventing you from meeting basic living expenses. 2. Request Currently Not Collectible (CNC) status by submitting Form 433-F. With your income level, you should qualify easily. 3. Contact the IRS collections department directly and request a temporary release of the levy based on economic hardship. Be persistent - document everything. The reconsideration process typically takes 6-18 months right now due to backlogs, but the financial hardship relief can happen much faster - sometimes within 2-4 weeks if you push hard enough. Also, make sure your CPA is actively following up on your case every 2-3 weeks. Don't just wait for those form letters - have them call and get status updates. You have the right to know what's happening with your case. Hang in there - this will get resolved, but you need to be proactive about the hardship relief while you wait.

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