INDIVIDUAL & BUSINESS TAX · 3 MIN READ
Why Did I Receive a Notice From the IRS? Common Notices and Why You Received Them
By Hevia & Hevia CPA Firm · Published
Reviewed by Alexander Hevia, CPA, J.D., LL.M. (Taxation) —
The IRS sends correspondence for many reasons, including unpaid balances, return adjustments, identity verification, and processing delays. The first step is to understand the notice and any response deadline.
A notice does not automatically mean that you are being audited or that the IRS’s conclusion is correct. Read the notice number, tax year, explanation, and response deadline before deciding what to do. IRS: Understanding your notice or letter
CP14: The IRS shows a balance due
A CP14 notice means the IRS’s records show unpaid taxes.
Compare the amount with your filed return and payment records. If you already paid, gather the confirmation and check that the payment was applied to the correct tax year and account. If you disagree, contact the IRS as instructed. If the balance is correct but you cannot pay in full, payment arrangements may be available. IRS: Understanding CP14
CP2000: Information does not match your return
A CP2000 notice generally proposes changes because information reported by an employer, bank, brokerage, or another third party differs from your return.
For example, a missing Form 1099 or a discrepancy involving investment proceeds may trigger a notice. The proposed amount should be checked against the underlying records.
A CP2000 is a proposed adjustment, not a bill. Follow its instructions to agree or disagree and provide supporting documents. Do not automatically file an amended return; the proper response depends on the circumstances and the notice’s directions. IRS: Understanding CP2000
CP12: Your refund changed
A CP12 notice generally explains corrections that changed your refund or resulted in a refund when you expected to owe money or break even.
Review what the IRS changed and compare it with your return. If you agree, a response generally is not required. If you disagree, contact the IRS by the date specified. IRS: Understanding CP12
5071C or CP5071: Identity verification is needed
These notices ask you to verify your identity and confirm whether you filed the return associated with your Social Security number or taxpayer identification number.
Follow the verification instructions even if you filed a legitimate return. If you did not file the return described, tell the IRS through the specified process. IRS: Identity and return verification notices
What should I do when a notice arrives?
Keep the complete notice and send a copy to your CPA promptly through your agreed secure communication method. Gather the relevant return, tax documents, and payment confirmations.
Pay particular attention to deadlines. Different notices carry different response requirements, and missing a deadline can affect your rights. Verify suspicious correspondence through IRS.gov before providing information or making a payment. IRS: Responding to notices
Your CPA can help determine what the notice means, whether the proposed treatment is correct, and what response or additional professional assistance is appropriate.
[Contact Hevia & Hevia CPA Firm] to discuss an IRS notice and the assistance you need.
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