The Department of Revenue issues many different types of letters to Tennessee taxpayers. Below is information explaining each type of letter and how to respond if you receive a letter from the Department.
If you receive a letter and are not sure if it is an authentic document from the Department of Revenue, you can verify its authenticity by confirming all of the following information is on the document:
- Tennessee state seal located at the top.
- A letter ID number starting with the letter "L" followed by nine digits.
- Contact information in the footer section.
Why did I receive this letter?
This letter indicates that the taxpayer has registered for a specific account.
What do I need to do?
Follow any given instructions in the letter to ensure that the business is meeting the requirements of the state.
What if I did not register the account identified in the letter?
Call the Department of Revenue immediately at (615) 253-0600 to avoid any unnecessary tax liabilities.
Why did I receive this letter?
The Department of Revenue issues two types of notice of assessment letters when the following events occur.
- A taxpayer has not filed a return when due and the Department of Revenue has generated an estimated return.
- A taxpayer files a tax return but has not paid the full balance due on that return.
- The Department of Revenue completes an audit.
What do I need to do?
If you received a letter about an estimated return, you must file a tax return for the delinquent period(s). If you have an active account, a return must be filed even if there is no activity to report for that filing period.
If you received a letter about an unpaid account balance or an audit, you should make a payment using the Tennessee Taxpayer Access Point (TNTAP) website.
What if I am unable to make the payment?
The tax return is still due even if you are unable to make a payment at the time you receive an assessment notice. If you are unable to pay the full amount due as a lump sum, you may submit a payment plan request using TNTAP.
What if I am no longer in business?
If you received an assessment notice for a business that is now closed, you will need to close your tax account(s). You can do this using TNTAP or contact the Department of Revenue at (615) 253-0600 for assistance.
Why did I receive this letter?
This letter advises the taxpayer that they have been previously notified of an outstanding liability and serves as a final warning before the Department of Revenue engages in collection action.
What do I need to do?
Make a payment using your TNTAP account. If you cannot make a payment electronically, you may pay by mailing a check to the address indicated in the letter.
What if I cannot pay the liability?
You may contact the Collections Service division by email at Revenue.Collection@tn.gov. Be sure to reference the letter ID.
Why did I receive this letter?
The Department of Revenue issues an intent to levy or lien letter when a taxpayer has not paid its tax liabilities despite previous contact attempts by the Department. These letters notify the taxpayer the Department may levy or garnish the outstanding liability if the taxpayer does not pay the liabilities within the stated time period.
What do I need to do?
Honor the request and send the required payment amount to the Department of Revenue along with the intent to levy and/or lien notice.
What if I do not have the payment?
Contact the phone number on the letter for more information.
Why did I receive this letter?
The Department of Revenue has received your payment but it was returned by your bank for the reason indicated on the letter.
What do I need to do?
Contact your bank for more information regarding the returned payment. You should also submit a replacement payment using TNTAP.
What if my bank shows that the funds were deducted?
You may provide proof that funds were deducted from the bank account for the Department to research further.
Why did I receive this letter?
The Department of Revenue issues this letter after receiving a request from the referenced taxpayer to close an account or after the Department has closed the account due to inactivity.
What do I need to do?
If you initiated the request, you may keep the letter for reference. If you did not initiate the request and believe the account was closed in error, please contact our registration team at (615) 253-0600 and submit a request to reopen the account.
Why did I receive this letter?
The Department of Revenue issues this letter when there is a credit on the account from a tax return or a taxpayer submitted payment in excess of liability on the account.
What do I do?
You can request the credit be applied to other liabilities or refunded to you.
Please note: Notice of overpayment letters are only accurate as of the date of generation. Credits on the account are subject to change as new liabilities are placed on the account and statutes of limitations run. The Department will review and process requests to apply credits to other liabilities or refund requests as they are received.
Why did I receive this letter?
The Department of Revenue issues this letter upon taxpayer request.
A Certificate of Tax Clearance declares that all tax returns administered by the Department of Revenue have been filed and all liabilities have been paid. Certificates of Tax Clearance are issued to both terminating and ongoing businesses. Certificates of Tax Clearance may be granted for terminations, withdrawals, reinstatements, rescissions, authorization, and good standing.
To receive a tax clearance certificate when shutting down a business, a business must file all returns to date and a final franchise and excise tax return through the date of liquidation or the date on which the business ceased operations in Tennessee. Furthermore, all outstanding franchise and excise tax payments must be made.
What do I do?
Businesses often request a tax clearance certificate to confirm they are in good standing with the Department of Revenue to complete a large business transaction involving another entity.
A tax clearance is valid for 45 days. If you are attempting to obtain a certificate of authority for the Tennessee Secretary of State, contact them at (615) 741-2286 upon receipt of this letter.
Why did I receive this letter?
The Department of Revenue issues the letter when the Commissioner has determined that a change in the filing date for the referenced sales and use tax account is in the best interest of the state.
What do I do?
Make note of change for future filings and begin filing in accordance with the new filing frequency stated in the letter. Also, look for an updated certificate of registration in the mail.
Why did I receive this letter?
This is not bill. This letter explains that the Department of Revenue has adjusted the tax return for the account referenced in the letter. The changes are mentioned in the letter for your review.
What do I do?
If the adjustment resulted in additional tax liability, pay the amount due using the Tennessee Taxpayer Access Point (TNTAP) website.
What if I wish to dispute the adjustment or need help understanding the adjustment?
You may contact our office using the information at the bottom of the letter.
Why did I receive this letter?
The Department of Revenue received your request for termination/withdrawal from the state, and it was not approved for reasons explained in the letter.
What do I do?
Follow the instructions in the letter, and contact the Tennessee Secretary of State if you wish to close your business.
There are instances when taxpayers apply for exemptions, registrations, waivers, refunds, or permits with the Department of Revenue. In response to these applications, you may receive a denial letter or a missing information letter that requires your attention.
Denial Letters
- A denial letter indicated the taxpayer's application for a registration, exemption, waiver, refund, or permit has been denied. This typically occurs because the entity does not meet the required criteria.
- If you received a denial letter, follow the instructions in the letter to appeal the decision or resubmit a new application when the criteria are met.
Missing Information
- The Department of Revenue issues this letter if a taxpayer submits one of the application types above but more information is required in order for the Department to approve or deny the application.
- If you receive a missing information letter, submit the requested information within 30 days. If the information is not received within that time, the Department will reject the application.