Form CP523 is an IRS notice. It means the IRS intends to levy your assets. This is due to unpaid taxes. You might receive it if you owe taxes and haven’t responded to previous notices.
Disputing this notice is possible. You can write a letter to the IRS. This letter explains why you disagree with their action. We’ll help you with that.
We’ve got you covered. We’ll provide sample letters. These samples will guide you. They will help you draft your own letter.
Sample Letter To Irs To Dispute Form Cp 523
[Your Name]
[Your Address]
[Your City, State, ZIP Code]
[Your Phone Number]
[Your Email Address]
[Date]
Internal Revenue Service
[IRS Address from CP 523 Notice]
**Subject: Dispute of Form CP 523**
Dear Internal Revenue Service,
I am writing to dispute the CP 523 notice I received on [Date of CP 523 Notice]. My Social Security number is [Your Social Security Number] and the tax year in question is [Tax Year].
I believe this notice is incorrect because [Clearly explain the reason for your dispute. Provide specific details and dates. Examples: “I already paid the amount due on [Date]” or “I filed an amended return on [Date] that corrects the discrepancy” or “The income reported on the notice is not accurate because…”].
I am including the following documents as evidence to support my claim:
* [List of documents you are including. Examples: “Copy of cancelled check”, “Copy of amended tax return”, “W-2 form”, etc.]
I request that you review my case and correct the error. Please contact me at the phone number or email address above if you require any further information.
Thank you for your time and attention to this matter.
Sincerely,
[Your Signature]
[Your Typed Name]
html
How to Write Letter To IRS To Dispute Form CP 523
1. Subject Line: Clarity is Paramount
The subject line is your initial communiqué. It should be succinct and directly address the purpose of your correspondence. Don’t bury the lede, be upfront about disputing the CP 523 form.
- Example: Subject: Dispute of CP 523 Form – [Your Name] – [Your SSN/EIN]
2. Salutation: Commence Cordially
Begin your letter with a respectful salutation. While you might be experiencing frustration, maintaining civility is crucial. A formal approach sets the right tone for your dispute.
- Acceptable: Dear Internal Revenue Service,
- Acceptable: To Whom It May Concern:
- Unacceptable: Hey IRS, or anything similarly informal.
3. Identification: Establish Your Bona Fides
Immediately identify yourself. Provide your full name, Social Security Number (SSN) or Employer Identification Number (EIN), address, and a phone number where you can be reached. This foundational information allows the IRS to quickly locate your account and pertinent records.
- Full Name
- Social Security Number (SSN) or Employer Identification Number (EIN)
- Current Address
- Telephone Number
4. Reference the CP 523 Form: Specificity is Key
Explicitly mention the CP 523 form you are disputing. Include the date it was issued and any other identifying information present on the notice. This ensures the IRS understands precisely which communication you are addressing.
- State: “I am writing to dispute the CP 523 form I received on [Date].”
- Include any reference numbers or codes from the CP 523 form.
5. Articulate Your Dispute: The Nitty-Gritty
This is the crux of your letter. Clearly and concisely explain why you believe the CP 523 form is erroneous. Provide factual evidence and documentation to support your claim. Ambiguity is the enemy; precision is your ally.
- State your reason for disputing the form (e.g., already paid, incorrect income calculation, identity theft).
- Provide supporting documentation (e.g., copies of canceled checks, amended tax returns, identity theft affidavit).
- Be factual and avoid emotional language.
6. Proposed Resolution: Charting a Course
Suggest a specific resolution to the issue. This demonstrates that you’re not just complaining, but actively seeking a solution. Outline what you expect the IRS to do to rectify the situation.
- State clearly what you want the IRS to do (e.g., re-evaluate the assessment, acknowledge payment, investigate identity theft).
- Provide a timeline if applicable (e.g., “I request a response within 30 days”).
7. Closing: Conclude Professionally
End your letter with a professional closing. Express gratitude for their time and consideration. Maintain a respectful tone, even if you are incensed by the situation. A gracious exit leaves a positive lasting impression.
- Acceptable: Sincerely, or Respectfully,
- Followed by your full name and signature (if mailing a hard copy).
- Include a final statement: “Thank you for your time and consideration in this matter.”
html
Frequently Asked Questions About Disputing Form CP 523 with the IRS
Form CP 523, Notice of Intent to Levy (State Income Tax), indicates the IRS intends to levy your state income tax refund to cover a federal tax debt. Understanding your rights and how to dispute this notice is crucial.
These FAQs address common concerns regarding Form CP 523 and the process of disputing it with the IRS.
What is Form CP 523?
Form CP 523 is a notice from the IRS informing you that they intend to levy (seize) your state income tax refund to apply it towards a federal tax debt you owe.
Why did I receive Form CP 523?
You received this notice because the IRS believes you owe a federal tax debt and they have identified your state income tax refund as a potential source to satisfy that debt.
How do I dispute Form CP 523?
To dispute Form CP 523, you must send a written response to the IRS address provided on the notice, clearly explaining the reasons for your dispute and including any supporting documentation.
What reasons can I use to dispute Form CP 523?
Valid reasons for disputing include: the debt is already paid, you do not owe the debt, the debt is incorrect, you are currently in bankruptcy, or you have an agreement with the IRS to pay the debt.
What happens if I don’t respond to Form CP 523?
If you do not respond to Form CP 523, the IRS will likely proceed with levying your state income tax refund and applying it towards your outstanding federal tax debt.