IRS CP32 Notice: What It Means and How to Respond

If you've received an IRS CP32 Notice, it means the IRS has sent you a notice regarding an unpaid balance on your tax account. This notice is a follow-up reminder that you have a balance due and need to take action.

What Is an IRS CP32 Notice?

The CP32 Notice is sent when:

  • You have an outstanding tax balance from a prior notice or tax return.
  • The IRS is reminding you that payment is due.
  • The notice details your balance, due date, and payment options.
Why Did I Get a CP32 Notice?

Common reasons include:

  • Not paying the balance from a previous IRS notice.
  • Missing a payment deadline.
  • Errors in payment processing or adjustments.
What Should I Do After Receiving CP32?

Step 1: Review Your Tax Account
Verify the balance due is correct based on your records.

Step 2: Pay or Arrange Payment

  • Pay the full balance by the due date to avoid penalties and interest.
  • If you can't pay in full, contact the IRS to set up a payment plan.

Step 3: Contact the IRS if You Disagree
If you believe the balance is incorrect, gather your documents and contact the IRS immediately.

What Happens If I Ignore a CP32 Notice?
  • Interest and penalties will continue to accrue.
  • The IRS may take enforced collection actions such as wage garnishment or bank levies.
  • Your credit may be negatively affected by liens.
How to Avoid Future CP32 Notices
  • File and pay taxes on time.
  • Respond promptly to IRS notices.
  • Set up payment arrangements if you can't pay in full.

KARME Tax Services Can Help You Resolve Tax Balances

An IRS CP32 Notice means action is needed. At KARME Tax Services, we:

  • Review your IRS notices carefully
  • Help set up payment plans or negotiate settlements
  • Guide you through avoiding future IRS collection actions

Call KARME today at 972-519-0041 or schedule your consultation online. Taking timely action can save you from costly penalties.

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