Tax Dictionary – Underreported Business Income

IRS Definition

Business Automated Underreporter cases are drawn from two primary sources:

  • The Business Master File which contains information reported to the IRS by taxpayers
  • The Information Return Master File which contains information submitted by payers

More from H&R Block

If the IRS finds that the information provided to them by third parties such as credit card merchants, banks and other payers does not match the information reported on the business’s tax return, they will send a underreporter notice such as Letter 2030 or 2531. These notices request that you review the tax return and verify the information requested. You may need to contact the payer if the information the IRS has on file is not correct or is different from the information on the form you received from the payer.

Learn how to handle an IRS notice.

Related Topics

Related Resources

IRS Letter 545 – We Recalculated Your Tax – You Filed More Than One Return

Learn more about letter 545, why you received it, and how to handle an IRS 545 letter with help from the tax experts at H&R Block.

IRS Letter 2202 – Your Federal Income Tax Return Has Been Selected for Examination

Learn more about letter 2202, why you received it, and how to handle an IRS examination with help from the tax experts at H&R Block.

Tax Dictionary – Authorization

Get the facts about IRS authorizations, such as Form 2848, Power of Attorney. Read the IRS definition and get more insight from the experts at H&R Block.

IRS Notice LT75 – Notice of Levy and Notice of Your Right to a Hearing

Learn more about notice LT75, why you received it, and how to handle an IRS bill for unpaid tax with help from the tax experts at H&R Block.