1. Audit Notice for
“Proposed Tax
Deficiency”
(30 Day Letter)
Accept Changes You Appeal
or Tax Deficiency (Audit Process
(You Lose) Begins)
IRS has 3 years
under Statute of
Limitations
IRS issues a Tax
IRS issues a “No Deficiency
Change” (You either Lose
(You Win) or you Lowered
the Tax)
Notice of
Deficiency
(90 Day Letter –
150 Day Letter if
address to an
International
Taxpayer)
Appeal to Tax
Court
Pay Tax (Small Tax Case
Division if under
$50,000)
Federal Claims
Federal District
Court
Court
(Apply for Refund)
Federal Appellate
Court
Federal Supreme
Court