I Got a Letter From the IRS — What Do I Do?
First: Take a Breath
Getting a letter from the IRS is stressful. Your heart rate goes up. You might be tempted to toss it in a drawer and deal with it "later." Please don't do that.
Here's the truth: most IRS notices are not emergencies, and most of them have straightforward responses. The IRS sends out millions of letters every year for routine reasons — asking for more information, notifying you of a change, or reminding you of a balance. Many people who panic actually owe nothing once they read carefully.
That said, every IRS letter does require your attention. Ignoring them is the one thing that turns a small problem into a big one.
Step 1: Find the Notice Type (CP Number or Letter Number)
Every IRS notice has an identifier — usually a CP number (like CP14 or CP2000) or a letter number (like Letter 531). You'll find it in the upper right corner of the first page, often labeled "Notice" or "CP."
That number tells you exactly what the IRS is communicating. Write it down — it's the most important piece of information on the page.
Step 2: Read the Entire Notice Carefully
Before you call anyone or do anything, read the whole letter. Look for:
- What the IRS is saying — are they proposing a change, billing you, or asking for information?
- The amount involved — is there a balance due, and how much?
- The deadline — this is critical. Most notices give you 30 days to respond. Some give you 60 days. The CP3219A (statutory notice of deficiency) gives you 90 days — and missing that deadline has permanent legal consequences.
- What the IRS wants you to do — respond in writing, call, send documents, or make a payment
Step 3: Do Not Ignore It
This is the most important rule. The IRS does not give up. If you ignore a notice, the next one will be more serious — more penalties, more interest, and eventually collection actions like wage garnishment or bank levies.
Responding on time — even just to say "I need more time" — keeps your options open.
Step 4: Verify the Notice Is Real
IRS scams are common. A real IRS notice will:
- Arrive by mail (the IRS does not initiate contact by email, text, or social media)
- Include a CP or letter number in the upper right corner
- Reference your partial Social Security number (last 4 digits only)
- Have a return address from the IRS, not a P.O. box from a random city
- Not demand immediate payment via gift card, wire transfer, or cryptocurrency
If something feels off, call the IRS directly at 1-800-829-1040 to verify the notice is real before responding.
Step 5: Respond on Time
Once you know what the notice is and what it's asking, respond by the deadline — even if you can't fully resolve the issue yet. Options include:
- Pay the amount if you agree and can afford it
- Dispute the notice in writing if you disagree, with supporting documents
- Request an extension if you need more time to gather information
- Set up a payment plan if you owe and can't pay all at once (see our guide: How to Set Up an IRS Payment Plan)
Common IRS Notice Types — What You May Have Received
Here's a quick overview of the most common IRS notices:
Balance Due Notices
- CP14 — Your first notice of a balance owed. Respond within 21 days.
- CP501 / CP503 — Follow-up reminders that your balance is still unpaid.
- CP504 — Urgent: the IRS is about to levy your state tax refund. This is serious.
Income and Tax Return Issues
- CP2000 — The IRS found income on your return that doesn't match their records. Most common IRS notice.
- CP11 / CP12 — Math error on your return; the IRS made a correction.
Payment Plan Issues
- CP523 — Your installment agreement has been canceled. Act within 30 days.
Legal Notices
- CP3219A — Statutory Notice of Deficiency. You have 90 days to petition Tax Court. Missing this deadline permanently waives your right to contest in Tax Court. Get professional help immediately.
When to Get Professional Help
Most notices you can handle yourself. But consider getting a tax professional (CPA, enrolled agent, or tax attorney) if:
- The amount involved is over $10,000
- You received a CP3219A (statutory notice of deficiency)
- You have multiple years of unfiled returns
- The IRS has threatened a levy or lien
- You're being audited
How Tax Notice Clarity Can Help
Not sure what your notice means or what to do? Upload it to Tax Notice Clarity and get an instant plain-English explanation — the type of notice, what it means, your deadlines, and step-by-step next actions — in about 30 seconds.