What Do IRS Notices Mean?

You've just received a notice from the IRS in the- CP161: No math error, balance due
mailbox. What does it want? Do I need to pay them- CP501: Balance due reminder notice
more taxes? Do I have an IRS issues? Do not panic.- CP504: Urgent notice ý balance due
Your IRS problems can be solved. IRS notices are- CP523: Notice of default on installation agreement
easy enough to handle.- CP2000: Notice of proposed adjustment for under
Millions of notices are sent by the IRS per year. Theseoverpayment
could be anything from default notices to correctionsIf you agree with the change specified on the notice
on tax returns. Every notice points to an issue andthen no reply is necessary, unless you owe a balance.
includes the details on how to settle the matter.Send your payment using the details in the notice if
The top of page 1 and the left hand side of theyou do owe a balance. Prompt action will make sure
tear-off stub of the notice has the specific collectionthat you only need to pay additional tax and have not
process or CP number assigned to it.accrued any penalties or interest.
The most common CP (collection process) numbersIf you find the notice disagreeable, contact the IRS right
are:away and present your reasons. A contact number
- CP12: Overpayment of at least $1 (Math error)should be listed on the notice. If you wish, you may
- CP14: Balance due (Math error)send a written explanation but it has to be done in a
- CP49: Overpaid tax applied to other taxes you needtimely manner. Show the reason why you don't agree
to paywith the notice in your letter. The notice has a tear-off
- CP90: Notice of intent to levy (Final notice, sentportion that must be attached. The IRS will respond in
simultaneously with CP297)30 days.
- CP297: Final notice ý Notice of your right to aOften the response is another notice asking for more
hearing (CP90 & CP297 are simultaneously sent)information or simply answering your questions
- CP91: Notice before levy on Social Security benefitsregarding the first notice. Simply follow the instructions
(Final notice, simultaneously sent with CP298)on the notice as needed.
- CP298: Notice of intent to levy on Social SecurityIt's important to keep copies of your correspondence
benefits (Final notice, sent simultaneously with CP91)with the IRS for your records.