This notice is sent by the IRS when there is a discrepancy on the return you filed versus what the IRS has on file for you. This may cause an increase or decrease in tax due, or it may not cause any change at all.
Why did I get this notice?
The most common reasons for a CP2000 notices are taxpayers incorrectly reporting income or failing to report all income received through out the year.
The most common mistakes are:
- Not reporting your social security benefits
- Not reporting your retirement distributions
- Not reporting your Rollovers
- Not reporting your Interest and Dividends
- Misreporting your Self-Employment Income
- Not reporting the Cancellation of Debt from form 1099-C
- Not reporting all wages earned (even if no W-2 was received)
Do I owe any money/payment?
This is not a bill, but a proposed adjustment based on what was reported to the IRS. Any adjusts to income may impact total taxable income, total tax, deductions and credits.
How do I respond to the notice?
- If you review this notice and agree to the adjustments, you will send the response form back that was sent with the letter. You will not need to amend the return, if you agree to the changes. If you choose to amend your return as a result of the notice, write CP2000 on the top of the return and attach it behind your completed Response form.
- If you disagree with the notice, you will need to reply to the IRS with supporting documents showing why you disagree with their proposed adjustment.