IRS CP77 Notice: Understanding Your Increase in Tax Due
Receiving an IRS CP77 notice means the Internal Revenue Service has made changes to your tax return that resulted in additional tax owed. This notice explains what changes were made and how to respond appropriately.
The IRS CP77 notice is sent when the IRS modifies your tax return, resulting in additional taxes, penalties, or interest owed.
Key Features of the CP77 Notice:
- Detailed explanation of changes made to your return
- Comparison between your original return and IRS adjustments
- Breakdown of additional taxes assessed
- Penalty and interest calculations
- Payment options and dispute procedures
The IRS typically issues CP77 notices for:
- Unreported income (1099s, W-2s, investments)
- Mathematical errors on your return
- Disallowed deductions or credits
- Filing status changes
- Tax calculation adjustments
Option 1: Agree and Pay
If the adjustments are correct, you can:
- Pay the full amount by the due date
- Set up a payment plan if needed
- Request penalty abatement if applicable
Option 2: Dispute the Changes
If you believe the IRS is wrong, you can:
- File a written protest within 60 days
- Provide supporting documentation
- Request reconsideration of adjustments
- 21 days to pay without additional interest
- 60 days to file formal dispute
- 30 days for expedited resolution requests
Missing deadlines can result in additional penalties and collection actions.
Our services include:
- Detailed review of IRS adjustments
- Strategic response planning
- Professional dispute resolution
- Penalty abatement requests
- Full IRS representation
Don't Let IRS Adjustments Cost You More Than Necessary
Many CP77 notices contain errors that can be successfully challenged with professional help.
Call 972-519-0041 now for a free review of your notice.