What is the LT36?
The LT36 is an IRS Notice sent to current and retired Federal employees who have been deemed non-compliant with their tax obligations. According to the notice, there are 525,000 employees that fit this description.
Part 2635 in the United States Code of Federal Regulation details standards of ethical conduct for employees of the executive branch. One of the stipulations of Part 2635 is that a current or retired Federal employee should remain compliant with all their tax obligations. The LT36 is a notice that states the recipient hasn’t met the requirements of Part 2635.
In short, the LT36 is a notice that the IRS has deemed a Federal employee as being non-compliant with their taxes and they want that remedied immediately by paying any tax liability or filing any missing tax returns.
What is the LT36 threatening?
The LT36 is simply a notification that there is a problem and it’s not threatening anything yet. However, if the tax issue isn’t resolved in a timely manner, more urgent notices will continue to pile up and eventually the IRS will resort to aggressive collection actions such as levies, liens, and garnishments.
What should you do if you receive the LT36?
It may be tempting to let the matter go, since the LT36 isn’t a particularly threatening notice. However, the sooner you enter an agreement with the IRS, the better. You don’t want to become the IRS’s next victim. It doesn’t matter if you’re a Federal employee. The IRS will still come after you for any perceived non-compliance.
The best thing to do is act on it immediately, by doing what the notice tells you to do. Unfortunately, for many people, this isn’t feasible without the assistance of licensed tax professionals. Doing it on their own could put them in a situation that isn’t sustainable.
This is especially true if you owe more than $10,000. We recommend that you hire a licensed tax professional to make sure you reach the best possible agreement with the IRS for your particular tax situation.
If you have received the LT36, we can help you. Justice Tax, LLC specializes in resolving taxpayer’s tax issues, including IRS and state levies, garnishments, unfiled tax returns, and more. By calling us at 888-545-6007, we can provide you with a completely free, no-obligation consultation to go over your tax concerns with you and help you achieve freedom from your tax situation.
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