IRS Notices and Action Steps (generalized) Flashcards
What is IRS Notice CP14, and what should a tax representative do next?
This notice is for a Balance Due; the tax representative should review the balance and take appropriate action, such as setting up a payment plan using Form 9465.
What does Notice CP2000 signify, and what is the next step?
It’s an Underreported Income Notice; the tax representative should respond with Form 1040X if changes are necessary or a written explanation if not.
What is Notice CP504, and what should be the next action?
It is an Intent to Levy Notice; the tax representative should inform taxpayer to resolve the outstanding balance or consider filing Form 12153 for a Collection Due Process hearing.
What does Notice LT11 signify, and what is the next step?
Notice of Intent to Levy; the tax representative should inform taxpayer to address the balance due, request a payment plan using Form 9465, or file Form 12153 for a hearing.
What is Notice CP90, and what should be the next action?
Final Notice of Intent to Levy; the tax representative should inform taxpayer to pay the balance or consider options like an Offer in Compromise (Form 656) or installment agreement (Form 9465).
What does Notice CP22A signify, and what is the next step?
It’s a notice for changes to the tax return, leading to a balance due; the tax representative should review and inform taxpayer to pay the amount or contact the IRS if incorrect.
What is Notice CP12, and what should be the next action?
Overpayment Notice; the tax representative should review and ensure the client receives the refund or applies it to the next tax year.
What does Notice CP3219A signify, and what is the next step?
Statutory Notice of Deficiency; the tax representative must file a petition in Tax Court using Form 1 (Petition) if they disagree, or inform taxpayer to pay the balance.
What is Notice CP88, and what should be the next action?
Notice to hold a refund due to unpaid tax; the tax representative should address the unpaid balance or contact the IRS to resolve discrepancies.
What does Notice CP23 signify, and what is the next step?
You owe a balance due to changes in your return; the tax representative should review the changes and inform taxpayer to pay the balance or contact the IRS if incorrect.
What is Notice CP05, and what should be the next action?
Your refund is being held while the IRS reviews your return; the tax representative should wait and respond to any requests for additional information from the IRS.
What does Notice CP42 signify, and what is the next step?
Amount of refund has changed due to a spouse’s offset; the tax representative should review and contact the IRS if there are discrepancies or issues.
