IRS Notice CP10 – Changes to Your Form 1040

The IRS sends CP10 when the tax due was calculated incorrectly on your tax return and the correction to the calculation has reduced the refund amount that was designated to be applied to the next year’s tax return.

View notice image

Type of Notice: Return accuracy

Most common tax problem area: IRS return and account problems

Other tax problem areas: N/A

Why you received IRS Notice CP10

  1. You requested that your refund be applied to your estimated tax payment for the upcoming tax year.
  2. When processing your return, the IRS discovered a miscalculation.
  3. The IRS corrected the error and made an adjustment to your return.
  4. The IRS sent CP10 to notify you that the adjustment reduced or eliminated the amount that could be applied to your estimated tax payments for the next year. You are advised to adjust the estimated tax payments you will make accordingly.

Your options to address IRS Notice CP10

  1. Dispute the taxes you owe
  2. Dispute the penalties
  3. Make arrangements to pay

Notice deadline: 60 days

If you miss the deadline: If you do not dispute the changes on a CP10 within 60 days, the IRS will not reverse the adjustment. Since you have already paid the taxes due, you must file Form 843, Claim for Refund and Request for Abatement.

Want more help?

See your local tax pro for a free consultation.

Related Topics

Related Resources

Tax Dictionary – IRS Audit Reconsideration

Get the facts from H&R Block about IRS audit reconsideration. The IRS will agree to reopen a closed audit in certain situations.

Six Ways Lying On Your Tax Return Can Get You Into Trouble With the IRS

Learn about the consequences you can face if you lie on your tax return. Get the facts from the tax experts at H&R Block.

Tax Dictionary – Substitute for Return (SFR)

If you don't file a required tax return, the IRS may prepare a substitute for return (SFR) for you. Read the IRS definition and more from H&R Block.

IRS Notice CP71 – Annual Balance Due Reminder Notice

Learn more about form CP71, why you received it, and how to handle an IRS CP71 notice with help from the tax experts at H&R Block.