Glossary

CP75B Notice

The CP75B notice is issued by the IRS when they require additional information to verify claims made on a taxpayer’s return. This notice typically pertains to claims for specific credits or deductions that require supporting documentation.

Key points about CP75B:

The notice outlines the specific information or documentation needed to verify the claims made.
Taxpayers are advised to provide the requested information by the specified deadline to prevent delays in processing their return or issuing a refund.
Failure to respond promptly may result in disallowance of the claimed credits or deductions.

Receiving CP75B is a critical step for taxpayers to ensure that their claims are validated and their returns processed without issues.

Recommendation

CP297A Notice: Notice of Levy on Social Security Benefits

The IRS CP297A Notice informs taxpayers that the IRS will levy a portion of their Social Security benefits to collect unpaid taxes unless action is taken.

CP523 Notice: Defaulted Installment Agreement

IRS CP523 Notice alerts taxpayers that their installment agreement is in default, with instructions to prevent levies or liens.

First-Time Homebuyer Credit

The First-Time Homebuyer Credit provided tax relief to individuals purchasing their first home, though it is no longer available for homes purchased after 2010.

Letter 3127C

IRS Letter 3127C confirms that changes have been made to an existing Installment Agreement, including revised payment amounts and due dates.

CP75 Notice: Earned Income Credit Verification Needed

The IRS CP75 Notice informs taxpayers that additional documentation is required to verify their eligibility for the Earned Income Credit (EIC).

CP21C Notice: Changes to Your Tax Return – Balance Due

IRS CP21C Notice notifies taxpayers that changes to their tax return have resulted in an additional balance owed and explains how to pay the new balance.

CP297C Notice: Intent to Levy on Government Payments

IRS CP297C Notice warns taxpayers of the IRS’s plan to levy federal payments, such as Social Security or government contracts, due to unpaid taxes.

Tax Forgiveness for the Deceased

Tax forgiveness for the deceased may relieve some tax liabilities if a taxpayer dies with unpaid taxes, though the estate is generally responsible for the debt.

Federal Tax Deposit (FTD)

A Federal Tax Deposit (FTD) is a payment made to the IRS by employers to cover payroll taxes, including income tax withholdings, Social Security, and Medicare taxes.

Letter 1058: Final Notice of Intent to Levy and Right to a Hearing

The IRS Letter 1058 informs taxpayers that the IRS will levy their property or wages unless they resolve their outstanding tax debt and request a hearing.