
IRS Notice CP 501-Reminder Of Past Due Taxes
IRS uses CP 501 to remind taxpayer of past due taxes. This is the first in a series of notices (CP501, CP503, CP504) each become more threatening in its language. The last in the series is the CP 504- Notice of Intent To Levy. Next is the Letter 1058- Final Notice of Intent To Levy
What Is The First Step With A CP 501 Notice?
Your first step is to review prior notice and to determine if the balance due is correct. Your next step is to determine whether you feel comfortable handling this on your own. If the outstanding balance is correct, you will want to make arrangement to pay the balance by the due date on the notice. If you fail to pay by the balance due by the due date, you will be accessed additional penalties and interest.
When Should I Respond to the 501 Tax Notice or the IRS?
You will want to respond as quickly as possible but no longer than 30 days. Once you receive the notice you will quickly need to verify it is correct and then review options for payment.
What If I Am Unable or Can’t Pay The Taxes Associated With A CP 501?
If you cannot pay your balance you may be able to apply for an installment agreement or other settlement options. If you are able, you will want to pay quickly before a Lien is file
Who Should I Call To Discuss CP 501?
There will be a number listed on the CP 50 There will be a number listed on the CP 501 notice that can be used to get answered to your questions. You can also give us a call..
What If I Disagree With The Reasoning Behind CP 501?
If you do not agree with the notice you will want to prepare a response listing the items of disagreement and provide supporting documentation to support your case. Whether you decide to handle this on your own or seek representation will depend on the complexity of the case.
IRS Notice CP503- Second Reminder of Past Due Taxes
IRS Audit Letter | What Do I Do If I Receive An Audit Notice