IMF/FTI Match Technical

The Internal Revenue Service (IRS) submits federal tax information to the North Carolina Department of Revenue (NCDOR). The NCDOR utilizes federal tax information in many tax compliance initiatives.

Taxpayers identified within this initiative have filed a federal individual income tax return and also filed a North Carolina individual income tax return for the tax year under review. The North Carolina individual income tax return starting point is federal taxable income (FTI). The IMF/FTI Match initiative identifies North Carolina tax returns that do not properly reflect FTI as filed and reported on the federal tax return.

A Notice of Individual Income Tax Assessment is mailed to taxpayers when FTI reported on the North Carolina individual income tax return (line 6) is less than FTI reported on the taxpayer’s federal income tax return.

View a Notice of Individual Income Tax Assessment

Taxpayers with questions related to this notice should call the Notice Inquiry Line, 1(877) 252-3252. Please have a copy of the notice and your Federal and State individual income tax returns available if you call.

The explanation printed on Notice of Individual Income Tax Assessment for this initiative states:
An adjustment has been made to change the federal taxable income as reported on your North Carolina return to the amount per your federal income tax return. The Internal Revenue Service has provided this information under Section 6103(d) of the Internal Revenue Code. If you agree with this adjustment, please send us your payment for the BALANCE DUE. If you have information to show that our adjustment is in error or have filed an amended return, please send your information attached to this notice within 45 days.

Important telephone number regarding the IMF/FTI Match Initiative: