Internal Revenue Code section 6020(b) is the authority given to the Commissioner of the Internal Revenue Service to prepare and process returns for non-filing business taxpayers.
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Under IRC 6020(b), the IRS has the authority to prepare a return on behalf of a business that has not filed a required return. The IRS sends letter 1085 or 1616 to the business to inform them that the IRS has prepared a return on their behalf, commonly called a substitute for return (SFR). If you agree with the return the IRS prepared, you can just sign the return attached to the notice and send it back to the IRS. If you disagree with the return prepared by the IRS, you can still file a return, but you must do so within 30 days or the IRS will process the return they prepared and send a bill for the taxes due.
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