IRS CP24 Notice: What It Means and What to Do
If you received an IRS CP24 Notice, it means the IRS has made a correction to your tax return, which has resulted in a reduction or denial of a refund or a correction to your balance due. This notice details the changes and explains what actions you should take next.
What Is an IRS CP24 Notice?
The CP24 Notice is sent when:
- The IRS finds a math error or incorrect information on your tax return.
- They correct it, which often leads to a reduced refund or increased balance due.
- The notice shows the original amount and the IRS's corrected amount.
Why Did I Get a CP24 Notice?
Common reasons include:
- Incorrect calculation of credits such as Earned Income Credit or Child Tax Credit.
- Errors in withholding or estimated tax payments.
- Mathematical mistakes on your tax return.
What Should I Do After Receiving CP24?
Step 1: Review the Notice Carefully
Compare the IRS's correction with your original return.
Step 2: Agree or Disagree?
- If you agree, pay any balance due or accept the reduced refund.
- If you disagree, contact the IRS promptly and be ready to provide documentation.
Step 3: Respond Quickly
You usually have 60 days from the notice date to dispute or pay.
What Happens If I Ignore a CP24 Notice?
- You may lose the chance to appeal the correction.
- Interest and penalties may accrue on any unpaid tax.
- The IRS could initiate collection efforts.
How to Avoid CP24 Notices in the Future
- Carefully check calculations on your tax returns.
- Keep thorough records of income and credits.
- Use reliable tax preparation methods or professionals.
KARME Tax Services Can Help You Navigate IRS Notices
If you've received a CP24 Notice, don't face it alone. At KARME Tax Services, we:
- Review IRS corrections for accuracy
- Help dispute incorrect changes
- Negotiate payment plans if needed
- Guide you to prevent future IRS issues
Call KARME today at 972-519-0041 or schedule a consultation online. Acting fast can save you money and stress.