What This Letter Means

Letter 1364, Appeals Full Disallowance of Refund Claim, is the IRS Independent Office of Appeals' formal notice that your refund claim is denied in full. Appeals reviewed the claim and agreed with the decision to disallow it.

The letter comes by certified mail, or registered mail if you live outside the United States. The law requires the IRS to explain why it disallowed your claim, and the letter includes that explanation.

A partial denial uses a different letter, Letter 1363.

Why This Letter Matters

This is a notice of claim disallowance. It starts the two-year period to file a refund suit under IRC 6532. When that period runs out, a refund for the issues covered in this letter is barred. For good.

If You Disagree

  • A refund suit is filed in a U.S. District Court or the U.S. Court of Federal Claims. The Tax Court does not hear refund suits like this one.
  • Refund suits generally require that the tax for the period be fully paid first.
  • Filing another amended return on the same issues does not restart the clock. The IRS will not issue a second disallowance letter for duplicate issues.
  • Litigation takes preparation. Don't wait until the last few months to start.

If You Agree

No action is needed. Keep the letter with your records for that tax year.

Deadlines

Count two years from the date of the letter. Write that date down today. Only a signed written extension with the IRS, usually on Form 907, moves it. Missing it ends your right to recover the money in court.

If Appeals disallowed your refund claim and you want to evaluate a refund suit before time runs out, call us at (813) 229-7100.