Scottsdale AZ IRS Debt CP2000 – Tax Debt Advisors

How Scott Allen EA of Tax Debt Advisors, Inc. Helped Robert Reduce His 2019 IRS Tax Bill in Scottsdale, AZ

Tax problems are among the most stressful financial challenges an individual can face, especially when the IRS sends a bill that seems overwhelming or inaccurate. For Robert, a taxpayer living in Scottsdale, Arizona, that stress became real when he received a CP2000 notice from the IRS assessing him with a large tax bill for the year 2019. Fortunately, he made the critical decision to work with Scott Allen EA of Tax Debt Advisors, Inc., a local and family-owned company based in Mesa, Arizona. With over 47 years of experience resolving IRS matters, Tax Debt Advisors, Inc successfully represented Robert, protested the IRS findings, and significantly reduced his tax debt.

This blog explores Robert’s journey, explains the IRS CP2000 process, and highlights the importance of hiring a local tax professional like Scott Allen EA for help with IRS debt or unfiled tax returns in Scottsdale, AZ.

Understanding the IRS CP2000 Notice

The IRS CP2000 notice isn’t a traditional audit, but it often feels like one. When the IRS sends this notice, they are informing the taxpayer that information reported on their tax return doesn’t match what third parties—such as employers, banks, or investment firms—submitted to the IRS. This discrepancy triggers a proposed change to the taxpayer’s income, resulting in an increased tax liability.

For Robert, the CP2000 notice he received related to his 2019 tax return and proposed a substantial tax increase based on unreported or misreported investment activity. The IRS calculated additional taxes, penalties, and interest, bringing the total balance to $25,844.70.

Scott Allen EA’s Role as Power of Attorney

Faced with this intimidating IRS bill, Robert knew he couldn’t navigate the situation alone. That’s when he contacted Tax Debt Advisors, Inc., a family business founded in 1977 and now operated by Scott Allen EA, an experienced Enrolled Agent who specializes in helping Arizona residents with tax debt resolution.

Scott Allen EA immediately became Robert’s IRS Power of Attorney, allowing him to legally represent Robert before the IRS. This critical step ensured that all communication from the IRS would go through Scott, relieving Robert from the stress of dealing with complex tax letters and deadlines.

With a deep understanding of how the IRS functions and extensive experience handling CP2000 notices, Scott began by reviewing Robert’s 2019 tax return, gathering all necessary financial documentation, and comparing it to the IRS’s claims.

The Protest and Amendment Strategy

After careful review, Scott Allen EA determined that the IRS had significantly over-assessed Robert’s tax liability. The IRS incorrectly calculated investment gains and failed to properly consider certain loss carryovers and basis adjustments. This type of error is common in CP2000 notices and often occurs when brokerage firms or third parties report incomplete or misunderstood information.

Rather than accepting the IRS’s proposed changes, Scott filed a formal protest and a corrective amendment to Robert’s 2019 tax return. The protest outlined why the IRS’s position was inaccurate and included proper documentation and calculations to support the correction.

This amendment and response process required meticulous preparation, as IRS correspondence often involves long waiting periods and demands for detailed substantiation. Scott Allen EA remained in communication with the IRS throughout the process, advocating for a fair reassessment of Robert’s liability.

A Significant Victory: Reduced IRS Tax Debt

After months of correspondence and careful negotiation, Scott Allen EA received a favorable decision from the IRS. The civil penalty and various interest charges originally assessed were adjusted based on the new information provided.

The IRS issued a CP21A notice—which officially reflects changes to a previously filed tax return—and recalculated Robert’s liability. The results were a dramatic reduction in the amount owed:

Original balance due: $25,844.70
Decrease in tax: -$5,989.00
Reduction in penalties: -$2,827.25
Reduction in interest: -$2,344.56
New total amount due: $14,683.89

By trusting the expertise of a local IRS representative, Robert was able to reduce his IRS bill by over $11,000, a major financial relief.

Scottsdale AZ IRS Debt CP2000

Why Scottsdale, AZ Taxpayers Should Hire Local Help

Robert’s situation is far from unique. Every year, thousands of taxpayers across the country receive CP2000 notices, IRS tax bills, and penalty assessments. Many feel lost or afraid to respond, and unfortunately, a large number turn to national tax relief companies promising results with little transparency or accountability.

What sets Scott Allen EA apart is his local presence and personal involvement in every case. Tax Debt Advisors, Inc. has been operating in Mesa, Arizona since 1977. It is not a faceless call center or a national firm outsourcing work overseas. Clients like Robert meet with Scott face-to-face (or over the phone if needed), and every IRS matter is handled with personal care and local knowledge.

Here are several reasons Scottsdale residents trust Scott Allen EA:

Local Knowledge: As a long-time Arizona tax professional, Scott is familiar with the specific financial and economic concerns of Scottsdale-area taxpayers.
One-on-One Representation: Clients work directly with Scott—not a random representative or third-party processor.
Proven Track Record: Tax Debt Advisors, Inc. has resolved over 114,000 IRS debts over the last four decades.
Full-Service Representation: From unfiled returns to audits and IRS settlements, Scott provides comprehensive services to help taxpayers get back on track.
Transparency and Integrity: No false promises or gimmicks—just honest representation and realistic solutions.

Helping Scottsdale AZ Taxpayers with Unfiled Returns or IRS Debt

While Robert’s case involved a CP2000 notice and tax assessment, many other Scottsdale-area taxpayers are dealing with unfiled tax returns, wage garnishments, bank levies, or ongoing IRS collection efforts. Scott Allen EA assists clients in all these situations with a step-by-step process tailored to their needs.

The services provided by Tax Debt Advisors, Inc. include:

Filing Back Tax Returns
Responding to IRS Letters and Notices (CP2000, CP504, LT11, etc.)
IRS Payment Plans
Currently Non-Collectible Status Settlements
Offer in Compromise Evaluations
Audit Reconsiderations
Innocent Spouse Relief

Whether a taxpayer owes the IRS $5,000 or $500,000, Scott Allen EA is prepared to assist with accurate filings, honest advice, and aggressive IRS representation.

Final Thoughts: Don’t Fight the IRS Alone

IRS tax problems can escalate quickly if not handled properly. Ignoring a CP2000 notice or accepting it without review can lead to overpayment, garnishments, and long-term financial damage. Robert’s story is a powerful reminder of the importance of seeking professional help.

Thanks to the skilled representation of Scott Allen EA of Tax Debt Advisors, Inc., Robert was able to correct the IRS’s mistake, reduce his tax burden by over $11,000, and regain peace of mind. Scottsdale taxpayers facing similar IRS challenges don’t have to go it alone. Whether it’s an audit, an IRS letter, or years of unfiled tax returns, Scott Allen EA is ready to step in and find the right resolution.

Call Tax Debt Advisors, Inc. today at (480) 926-9300 to schedule a free consultation with Scott Allen EA and take the first step toward financial freedom.