IRS Notice CP23 – Estimated Tax Discrepancy/Balance Due
The IRS sends CP23 to notify you that due to a discrepancy between estimated tax credits claimed on your return and credits the IRS posted to your tax account, you have a balance due.
Type of Notice: Return accuracy
Likely next step: Address IRS return and account problems
Why you received IRS Notice CP23
- You reported estimated tax payments when you filed a tax return.
- When the IRS compared the payments posted to your account with the payments claimed on the return, there was a discrepancy.
- The IRS changed the return to reflect the amount of payments posted to your account.
- The IRS sent CP23 to notify you of the discrepancy, of how the IRS changed the return and to advise you that a balance is now due. If you contact the IRS within 60 days of the date on the notice the IRS will reverse the changes. However, if your client is unable to substantiate the reversal, the IRS will forward the return for an audit.
Notice deadline: 21 days
If you miss the deadline: Additional penalties and interest will accumulate.
Want more help?
Your tax professional can deal with the IRS for you. Learn more about H&R Block’s Tax Audit & Notice Services. Or make an appointment for a free consultation with a local tax professional by calling 855-536-6504 or finding a local tax pro.
Letter from the IRS?
Your local H&R Block tax pro can look into it for you.Schedule a Free Consultation
Learn about IRS return and account problems that you may encounter when filing taxes from the tax experts at H&R Block.
Get the facts from H&R Block about the four types of IRS penalty relief, and which IRS penalty relief option may be best for your situation.
Get the facts from H&R Block about IRS payment options when you can't pay your tax bill, including short-term extensions, monthly payment plans, and more.
You have options when you owe taxes. Get the facts about the best way to pay your tax bill with help from the experts at H&R Block.
Liens and levies are tools the IRS uses to collect back taxes. Learn more about each one -- and how to avoid tax liens and levies by working with the IRS.