The CP14 Notice is the IRS’s first formal communication informing a taxpayer that they have a balance due on their taxes. If you receive this notice, it means that the IRS has processed your return and determined that you owe money—whether due to underreporting income, underpaying taxes throughout the year, or other discrepancies.
The CP14 notice will specify:
- The amount of tax owed
- Any penalties and interest that have been added
- Instructions for paying the balance in full
- Due dates for payment
Taxpayers who do not pay the amount due or respond to the notice by the deadline could face additional penalties, interest, and more aggressive collection actions from the IRS, including liens and levies. If you agree with the notice, the easiest way to resolve it is by paying the balance in full. You can make payments directly through the IRS’s Online Payment System or by mailing a check.
If you cannot afford to pay the full amount, you may qualify for an Installment Agreement or request other relief options, such as Offer in Compromise (OIC). If you believe the notice is incorrect, you can dispute the amount by providing documentation that supports your claim. In any case, it’s important to act promptly to avoid escalating collection actions.