Letter 3471C goes to issuers of tax-exempt bonds. The IRS campus in Ogden sends it when a bond information return arrives missing information the IRS needs to process it.
What This Letter Means
The letter covers these returns:
- Form 8038, for private activity bond issues
- Form 8038-G, for governmental bond issues
- Form 8038-GC, for small governmental bond issues, leases, and installment sales
- Form 8038-T, for arbitrage rebate, yield reduction, and penalty in lieu of rebate payments
- Form 8328, the carryforward election of unused private activity bond volume cap
The IRS builds each Letter 3471C from paragraphs that fit your situation. So the letter itself tells you exactly what is missing. It can be something as simple as a missing signature or a missing issue date. This is a request for information. It is not a bill.
What to Do
- Read the letter and list every item it asks for.
- Pull your copy of the return and the bond closing documents so the answer matches what was filed.
- If your bond counsel or financial advisor prepared the return, bring them in now.
- Send the information to the address on the letter by the date shown. Include a copy of the letter so your reply is matched to the right return.
- Keep copies of everything you send. Use certified mail for a paper reply.
If You Don't Respond
When no reply comes back, the IRS finishes processing the return with only the information it already has. That leaves the record for your bond issue incomplete. Answering the letter is the simple fix.
Questions About the Letter
Call the number on your letter if something it asks for is unclear. You can also have a representative deal with the IRS for the issuer by filing Form 2848.
If your organization received Letter 3471C and wants help with the response, call us at (813) 229-7100.