I received a certified letter from IRS stating to appeal I have to file my case in tax court; help!

You have received what is commonly called a Notice of Determination (“NOD”) or a 90 Day Letter. This letter is saying that your assessment (amount of taxes owed) needs to be contested in the United States Tax Court. This letter is common when the assessment of taxes is close to running out – say three years from the date the taxes were due to be filed or actually filed.

A petition needs to be filed with United States Tax Court within the 90 days that your letter was issued (there will be a stamped date on the letter indicating the 90th day). Following the filing of your petition, the case will be transferred to IRS appeals. At that point, you will be able to present your data that allows you to minimize or eliminate your taxes.