There it is… a plain white envelope with an IRS return address.

This seemingly innocent piece of mail is right there in your mailbox, mixed in with your bills and a pile of junk mail.

When you open the envelope, you see in the upper right-hand corner that it is a “CP71” notice.

What is a CP71 Notice?

Now, you may be aware you have a past due tax balance. You may even be on an installment plan, but you weren’t expecting anything from the IRS, so what could this be? Did something go terribly, horribly wrong?

This time, you can relax.

The CP71 is simply an annual reminder of the amount of tax you owe along with interest and penalties that have been assessed.

Even if things are chugging along smoothly with your IRS installment plan, you will still receive this notice each year. And every year until your balance is paid in full.

My Notice Says It is a CP71C. Is that different from a CP71?

Be sure to note that there will be either an “A,” “C” or “D” after the “CP71” in the upper right-hand corner of the notice. The CP71C is actually the most common one to receive.

All of the CP71 notices carry the same message, however:

You have an outstanding balance with the IRS, and here’s what the balance is as of the date of the notice.

 

Be Reassured

Again, a CP71 notice is not a cause for alarm. As it states in the notice, it’s a reminder of the amount you owe in back taxes, interest, and penalties.

Now, if you were unaware that you had a past due balance, that’s a different story.

In that case, you should see an Enrolled Agent (EA) to help you get to the bottom of why the IRS thinks you owe money (and you don’t).

An EA can not only figure out the situation but also represent you at all levels of the IRS to get your problem resolved.

 

 

 

 

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Jeffrey Schneider, EA, CTRS, NTPI Fellow has the knowledge and expertise to help you reach a favorable outcome with the IRS. He is the head honcho at SFS Tax Problem Solutions as well as an Enrolled Agent and a Certified Tax Resolution Specialist.
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Now What? I Got A Tax Notice From The IRS. Help! Defining and deconstructing the scary and confusing letters that land in your mailbox. Jeff defines and deconstructs the scary and confusing letters in a fashion that mixes attention to detail with humor and an intricate clarification of what is what in the world of the IRS.

The book is available in paperback and ebook on https://Amazon.com
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For more on SFS Tax Problem Solutions, visit: http://sfstaxproblemsolutions.com/
For more on SFS Tax & Accounting Services, visit http://sfstaxacct.com/
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738 Colorado Avenue Stuart, FL 34994
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Phone: 772-337-1040
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