Glossary

CP66 Notice

What Does it Mean When You Receive a CP66 Notice From the IRS?

A CP66 notice is a type of letter the IRS sends to taxpayers when they find a discrepancy, such as a mathematical error or missing information, on your tax return, resulting in an underpayment of taxes or penalties. It’s not necessarily an audit, but it does require your attention and often some sort of action on your part.

Related Concepts and Terms

Understanding these terms can provide additional context:

Tax Audit: A more thorough review of your tax return. This process is different than a CP66 notice.
Tax Penalty: A charge for not filing or paying your taxes on time, or for filing an inaccurate return.
Tax Interest: A charge for unpaid taxes, which continues to accrue until the tax debt is fully paid.
Notice CP2000: A notice sent when the income reported to the IRS by a third party (employer, bank, etc.) doesn’t match what you reported.
Tax Underpayment: When the taxes you paid during the year are less than the amount you actually owe.

Dealing with IRS notices can be overwhelming, but understanding what they mean and how to respond is essential. The CP66 notice, while potentially confusing, can be dealt with effectively if you follow the guidance provided above. Stay informed, be proactive, and always keep accurate records!

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