There are 5 General Types of IRS Notices and letters:
- Collections
- Audits
- Return Errors
- Return Requests
- General Letters
The IRS sends notices and letters for the following reasons:
- You have a balance due.
- You are due a larger or smaller refund.
- We have a question about your tax return.
- We need to verify your identity.
- We need additional information.
- We changed your return.
- We need to notify you of delays in processing your return.
Some IRS notices are sent via certified mail, such as the Notice of Intent to Levy, while others are mailed via regular post, like changes made to your tax return. Read all IRS letters and notices you receive, both certified and via regular mail.
CP = Computer Paragraph – (CP) numbers (3-digit number for BMF AND IRAF, 2-digit number for IMF) are located in the upper right corner of the notices and letters.
CSP = Classification Settlement Program – allows taxpayers and tax examiners to resolve worker classification cases as early in the administrative process as possible, reducing taxpayer burden.
5071C – Suspected Identity Theft. It requires you to verify your identity.
CP11 – The IRS has corrected one or more mistakes on your Tax Return, often resulting in a higher tax balance.
CP12 – The IRS has corrected one or more mistakes on your Tax Return, often resulting in a higher refund amount.
CP27 – The IRS is notifying you that you may be eligible for the Earned Income Credit (EIC) but you didn’t claim it on your Tax Return.
CP14 – You haven’t paid your taxes and the IRS is notifying you of the outstanding debt. This is always followed by a CP501 notice reminding you that you have unpaid taxes due. You will receive CP503 as your last reminder before the IRS starts getting serious.
CP21A – This is a response to an amended tax return you filed.
CP90 – This is a written notification, required by law, to inform you that the IRS intends to place a levy on federal payments due to you 30 days after the date of the letter.
CP05 – A notice that your refund is being held while the IRS verifies the accuracy of the tax credits, income tax withholding, or business expenses have been verified.
CP515 – The IRS did not receive a tax return from you by the due date.
Adams Enterprises will assist you if you receive an IRS notice, even if you are not a client!