Notice of Deficiency
A Statutory Notice of Deficiency is not an assessment of tax nor does it require you to make immediate payment. It is a proposed deficiency which generally gives you 90 days, (150 days if the notice was addressed to a person outside the United States), to either agree to the deficiency or file a petition with the United States Tax Court for a redetermination of the deficiency. Once the notice of deficiency is issued, the 90 or 150-day period cannot be suspended or extended. During this period, you may ask Appeals to reconsider the case. However, the reconsideration does not extend the 90 day period you have for filing a petition with the Court. The Notice of Deficiency can be rescinded under certain circumstances if both parties agree.
