Glossary

A CP71A notice is a letter from the IRS informing you that they have applied an overpayment from a prior year to a tax liability you owe. Understanding this notice is crucial for managing your tax obligations.

The charitable contribution deduction allows you to reduce your taxable income by deducting donations you make to qualifying charities. This encourages charitable giving and can lower your tax burden.

The Child Tax Credit is a tax benefit for families with qualifying children, designed to reduce their tax burden. It can offer significant financial help.

The corporate tax rate is the percentage of a company's profits that it pays in taxes to the government. It’s a crucial factor impacting a business's profitability and financial planning.

A Dependent Care FSA is a special savings account that lets you set aside pre-tax money to pay for eligible childcare expenses. It's a great way to reduce your tax bill while managing the costs of looking after your kids.

Letter 3217C is an important notice from the IRS related to proposed changes to your tax return. It's essential to understand what it means and respond appropriately.

A CP16 notice from the IRS usually means there's a slight change to your tax account, often relating to a tax return adjustment. It's important to understand why you received it and what steps, if any, you need to take.

A CP18 Notice from the IRS usually indicates an issue with your tax return, specifically related to math errors or missing payments. It's crucial to understand what it means and how to respond correctly.

A CP75A Notice is a letter from the IRS requesting more information to verify the tax credits or deductions you claimed on your tax return. It means the IRS needs more proof before processing your refund.

A CP80 notice is an informational notice from the IRS regarding a change to your tax account, often related to payments or credits. It's not usually a demand for payment, but it is important to understand.