VITA Certification Practice Test 2025 – Complete Exam Prep

If a taxpayer does not respond to an IRS notice, additional taxes may be owed. This situation arises because the IRS often sends notices regarding discrepancies, unpaid taxes, or additional documentation required to support the information on a tax return. If the taxpayer fails to address the issues raised in the notice, the IRS could proceed with assessments based on their records, which may include adding penalties and interest. This could result in an increase in the total tax liability. By not responding, the taxpayer potentially forfeits their ability to contest or clarify any issues, leading to a situation where they owe more than initially assessed.

Other options do not accurately reflect the consequence of ignoring an IRS notice. Receiving a larger refund is not typical when a taxpayer ignores communication from the IRS, as they are generally concerned with outstanding issues rather than refunds. An IRS notice will not be dismissed automatically; it remains valid and requires attention. Lastly, failing to respond does not grant any protection from audits; in fact, it might increase the likelihood of further inquiries from the IRS.