The IRS occasionally issues CP2000 notices—known as Automated Underreported Notices. These are sent when there’s a difference between the income, deductions, or credits reported on your tax return and the information the IRS has received from third parties, such as employers or financial institutions. The notice outlines a proposed adjustment and may indicate a change in tax liability.
CP2000 notices are not an audit. Rather, it’s a notification that the IRS has identified potential discrepancies. You’ll only ever receive these notices by mail. As a reminder the IRS will never contact you by text or email about this matter.
Updates to CP2000 Notices:
The IRS recently updated the CP2000 process with some new goals in mind:
- Improving taxpayer friendliness – clearer language and presentation
- Enhancing security – for example, omitting full Social Security numbers
- Advancing technology – incorporating more modern communication tools
Responding to a CP2000:
If you receive a CP2000 notice, you typically have 30 days to respond.
You can reply:
- By calling the IRS at the phone number listed on your notice, or
- By scanning the new QR code included with the letter for response options.
Although a CP2000 notice itself isn’t an audit, unresolved issues may later trigger one. Responding within the 30‑day window—and providing documentation to support the information reported on your return—greatly reduces the likelihood of any further action.
Key Takeaway
A CP2000 notice doesn’t necessarily mean you made an error, but it does require attention. Review the notice carefully, gather supporting documents, and respond promptly. Staying proactive helps ensure quick resolution and minimizes the chance of a future audit.
As always, we welcome you to reach out to your professional at HD Growth Partners for any questions or concerns. We are here to help.