IRS Notices · CP / LTR Decoder · Free Help Resources
Plain-language guide to the most common IRS notices. Response deadlines, what to do if you agree or disagree, the IRS collection sequence, and where to get FREE legal help if you cannot afford a tax pro (TAS, LITC, VITA).
Look up your specific notice in 5 seconds. Enter the CP or LTR number from the upper right corner.
Open IRS Notice Lookup →An IRS notice arrives by U.S. Mail with a CP (Computer Paragraph) or LTR (Letter) number on the upper right corner. The number tells you exactly what the notice is about. Common notices: CP2000 (income mismatch with third-party reports, ~30 days to respond), CP14 (first balance due, 21 days), LT11 / L-1058 (final notice of intent to levy, 30 days for a Collection Due Process hearing), CP05 (refund under review, no action), CP75 (EITC documentation request, 30 days). Response deadlines run from the date printed on the notice, not the day you receive it. Free help is available from the Taxpayer Advocate Service (877-777-4778) and Low Income Taxpayer Clinics (free for income-eligible taxpayers).
The IRS sends millions of notices each year. The vast majority fall into a small number of categories. Understanding which category your notice belongs to is the first step in responding correctly.
The IRS computer-matched your tax return against income reports submitted by third parties (employers, banks, brokerages, 1099 issuers) and found a discrepancy. CP2000 is NOT a bill - it is a proposed adjustment. The notice shows the income the IRS believes you should have reported, the additional tax owed, and any interest. You have approximately 30 days from the notice date to respond. If you ignore CP2000, the IRS sends a Statutory Notice of Deficiency (CP3219A), then formally assesses the tax.
What to do: Compare the notice line by line against your return. If the IRS missed a corresponding deduction, credit, or basis adjustment, dispute it with documentation. If you agree, sign the response form. If you partially agree, mark the lines you accept and dispute the rest.
CP14 is the IRS's first formal Notice of Tax Due and Demand for Payment. It is sent after you file a return showing tax owed but the IRS has not received payment, or after the IRS adjusts your return upward. The notice gives you 21 days to pay in full.
What to do if you cannot pay: Request an Online Payment Agreement (installment plan) at irs.gov/payments. The 180-day short-term plan has no setup fee. Long-term installment agreements have setup fees of $22 (direct debit) or $178 (manual). Ignoring CP14 leads to escalating collection notices: CP501, CP503, CP504, then LT11.
If you do not pay or respond to CP14, the IRS sends CP501 (first reminder), then CP503 (second reminder), then CP504 (final balance due before levy actions begin). Each step adds penalty and interest. CP504 specifically authorizes the IRS to seize your state tax refund and certain federal payments (Social Security, vendor payments) WITHOUT further notice.
If you receive any of these notices and cannot pay, request an installment plan immediately. Setting up a payment plan typically pauses collection action.
LT11 (also called L-1058) is the LAST notice you receive before the IRS can legally seize wages, bank accounts, retirement accounts, Social Security, or other property. You have 30 days from the date on the notice to request a Collection Due Process (CDP) hearing using Form 12153.
Requesting a CDP hearing pauses the levy and lets you propose collection alternatives (installment plan, Currently Not Collectible status, Offer in Compromise) and challenge the proposed action.
CP05 means the IRS is reviewing your return to verify income, withholding, tax credits, or business income BEFORE releasing your refund. There is nothing for you to do at this point - the IRS will complete the review (typically 60 to 120 days). CP05A is the follow-up: the IRS now needs you to send specific supporting documents (W-2, 1099, Schedule C records). Respond within 30 days.
CP12 means the IRS corrected one or more errors on your return. As a result, your original refund amount changed (you are now due a refund, the refund amount is different, or the balance owed is different). You have 60 days to dispute. If you agree, no action is needed.
The IRS used all or part of your current-year refund to pay a prior-year federal tax debt. The notice shows what was offset, what (if any) refund is left, and any remaining prior-year balance. CP49 is informational - no response is required.
The IRS is reviewing your Earned Income Tax Credit claim and needs documentation: proof of earned income, qualifying child relationship (birth certificate, custody documents), residency (school records, medical records, lease), and age. Refund is held until the review is complete. Respond within 30 days. Form 886-H-EIC is the comprehensive document checklist.
The IRS suspects identity theft and needs you to verify your identity before releasing your refund. LTR 5071C lets you verify online at idverify.irs.gov (faster). LTR 4883C requires phone verification. Have ready: the letter, prior-year and current-year tax returns, and ID documents. Respond within 30 days. After successful verification, refunds typically release within 9 weeks.
| Notice | Deadline | Consequence of Missing Deadline |
|---|---|---|
| CP14 | 21 days | Continued penalty and interest accrual; CP501 follows |
| CP501 | 21 days | CP503 follows |
| CP503 | 30 days | CP504 follows |
| CP504 | 30 days | State refund and certain federal payments may be seized |
| LT11 / L-1058 | 30 days for CDP hearing | Loss of Tax Court review; levy of wages, bank, retirement |
| CP2000 | ~30 days | CP3219A follows; eventual assessment |
| CP3219A | 90 days for Tax Court petition (150 if abroad) | Loss of Tax Court review; assessment becomes final |
| CP75 / CP75A | 30 days | EITC disallowance; refund denied; possible Form 8862 requirement |
| CP05A | 30 days | Refund continues to be held; eventual disallowance possible |
| CP12 | 60 days to dispute | Adjustment becomes final |
| LTR 4883C / 5071C | 30 days | Refund held indefinitely; possible identity-theft processing required |
| LTR 525 (audit) | 30 days agree, 60 days appeal | Loss of Appeals option; Statutory Notice of Deficiency issued |
Always read the specific date printed on your individual notice. Deadlines are calculated from the notice date, NOT the date you received it. If your notice arrived late and the deadline is impractical, contact the IRS immediately to request an extension or contact the Taxpayer Advocate Service.
Most IRS notices can be handled by the taxpayer alone, especially balance-due notices (CP14, CP501) and refund-review notices (CP05). Some notices benefit from professional representation:
If you cannot afford private representation, the next section covers free options.
Two FREE programs exist specifically to help taxpayers when the IRS process is not working or when a taxpayer cannot afford a tax professional. Both are real, well-funded, and underused.
TAS is an independent organization within the IRS, established by Congress in 1996. Its sole job is to help taxpayers when (1) IRS systems are not working as intended, (2) a tax issue is causing financial difficulty, or (3) the IRS has not responded by the date promised. TAS is FREE, confidential, and has at least one office in every state.
LITCs provide FREE or low-cost legal representation to taxpayers in disputes with the IRS, including audits, appeals, collection cases, and Tax Court litigation. LITCs are operated by law school clinics, nonprofit organizations, and bar associations - they are NOT part of the IRS.
Volunteer Income Tax Assistance (VITA) provides free tax prep to taxpayers with income generally under $64,000. Tax Counseling for the Elderly (TCE) serves taxpayers age 60 and older with a focus on retirement-related issues. Both programs use IRS-certified volunteers and operate at libraries, community centers, and college campuses. To find a site, call 800-906-9887 or visit irs.gov/individuals/free-tax-return-preparation-for-qualifying-taxpayers.
At LMN Tax Inc, the most damaging client mistake on IRS notices is panic-paying or panic-ignoring. Panic-paying happens with CP2000: clients see a proposed assessment, assume the IRS is correct, and sign the response form to consent. Often the IRS missed a corresponding deduction, credit, or basis adjustment, and the client owed less than the proposed amount. Always run the numbers before signing. Panic-ignoring happens with LT11: clients put the letter in a drawer because the amount feels overwhelming, and miss the 30-day Collection Due Process window. Once that window closes, Tax Court review of the levy is barred. Even if you cannot find an attorney before the deadline, file Form 12153 yourself - it is one page, and filing pauses the levy and preserves your rights. The third pattern is clients who try to fix CP05 by sending unsolicited documents; CP05 is a passive review and unsolicited documents can slow the refund. The rule of thumb: read the notice three times before acting; if anything is unclear, call TAS or an LITC before mailing a response.
Scenarios 1 and 2 show how following the right process produces dramatically better outcomes than panic-paying or ignoring. Scenarios 3 and 4 show how free help (LITC) and online tools (IDverify) close the gap for taxpayers who cannot afford a paid professional.
Look up your specific notice in the IRS Notice Response Helper. Enter your CP or LTR number to see the plain-language meaning, response deadline, agree/disagree action steps, and direct links to IRS official notice pages.
If your notice involves a balance due you cannot pay in full, run the IRS Payment Plan Calculator to see your monthly installment estimate, total cost with interest, and which plan type fits your debt amount.
If your notice involves a refund offset (CP49, CP504), check the Tax Refund Offset Calculator for the priority order of debts (federal tax, child support, federal student loans, state debts) and Injured Spouse Form 8379 eligibility.
For refund delays related to a notice, see IRS Still Processing: What It Means and IRS Tax Topics 152, 151, and 203 Explained.
If you cannot afford a tax professional and the issue is complex, contact the Taxpayer Advocate Service at 877-777-4778 (free, available in every state) or find a Low Income Taxpayer Clinic via IRS Publication 4134 or taxpayeradvocate.irs.gov/litc (free for income-eligible).