The IRS recently announced that some taxpayers are receiving CP14 (Balance Due, No Math Error) notices indicating a balance due, even though they have made payments with their 2023 tax returns. This situation is causing confusion and concern among many who believe they have settled their tax liabilities.
Who is Affected?
The affected taxpayers are those who have paid their 2023 tax return balance either electronically or by check. Despite these payments, their accounts may still show as pending. This discrepancy arises because the CP14 notice may have been generated before the payment was fully processed on the account, or because the payment was processed but contained errors requiring additional handling before the tax account could be updated.
No Immediate Action or Phone Call Needed
If you have received a CP14 notice but have paid your tax in full and on time, either electronically or by check, there is no need to respond to the notice at this time. The IRS is aware of the issue and is currently researching the matter. They will provide an update as soon as possible.
Importantly, any assessed penalties and interest will be automatically adjusted once the payments are correctly applied by the IRS.
Partial Payments
Taxpayers who have only paid part of the tax reported due on their 2023 return should take action by paying the remaining balance. Alternatively, they can follow the instructions on the notice to enter into an installment agreement or request additional collection alternatives.
The IRS has apologized for any inconvenience this delay in processing payments has caused to the affected taxpayers.
If you need help resolving an IRS issue or have received a CP14 notice and are unsure of what to do next, call M.A. Rubin CPA, PLLC at (833) 627-8246 for a free consultation. We are here to assist you in navigating these tax complexities and ensuring your accounts are accurately updated.
