Glossary

CP66 Notice

The CP66 notice is sent by the IRS to notify taxpayers that they are eligible for a refund based on their filed return; however, additional information or verification is required before the refund can be issued.

Key points about CP66:

The notice specifies the amount of the refund due and outlines the reasons why further verification is necessary.
Taxpayers are given instructions on what information or documentation they need to provide to expedite the processing of their refund.
Failure to respond promptly may delay the issuance of the refund.

Taxpayers receiving CP66 should act quickly to provide the requested information to ensure their refund is processed without unnecessary delays.

Recommendation

First-Time Penalty Abatement (FTA)

First-Time Penalty Abatement (FTA) is a program that allows taxpayers to remove certain IRS penalties if they have a clean compliance history.

IRS Letter 668(W): Notice of Levy on Wages, Salary, and Other Income

IRS Letter 668(W) is a Notice of Levy that allows the IRS to garnish wages and other income to satisfy unpaid tax debt.

Tax Lien Subordination

Tax lien subordination allows a federal tax lien to be moved to a lower priority, helping taxpayers refinance or sell property while still owing tax debt.

Federal Unemployment Tax Act (FUTA)

The Federal Unemployment Tax Act (FUTA) imposes a tax on employers to fund unemployment compensation programs.

CP3219N Notice: Notice of Deficiency

IRS CP3219N Notice notifies taxpayers of additional taxes owed based on proposed adjustments and offers the right to challenge the deficiency in tax court.

CP49 Notice: Overpayment Applied to Previous Tax Debt

The IRS CP49 Notice informs taxpayers that their refund or overpayment has been used to pay off a previous year’s tax debt.

Tax Lien

A tax lien is a legal claim placed by the IRS on a taxpayer’s property, giving the government the right to collect unpaid taxes from the property’s value.

Tax Deduction

A tax deduction reduces a taxpayer’s taxable income, thereby lowering their overall tax liability.

CP22E Notice: Changes Due to Examination

The IRS CP22E Notice informs taxpayers of changes made to their return after an examination, with a balance now due.

CP251 Notice

The CP251 notice informs taxpayers of discrepancies between their estimated tax payments and the IRS’s records, requesting that they reconcile the differences.