Silas Bamigbola
articles from Silas
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IRS CP141r Notice: What It Means When a Penalty Is Canceled
Published 10/24/2024 by Silas Bamigbola
The IRS issues a CP141r Notice to inform taxpayers that a previously assessed penalty has been removed from their account. This notice does not require any action from the recipient. However, understanding what it means and what to expect can help you stay informed about your tax return situation. If you have already paid the penalty, the IRS will issue a refund, provided there are no other outstanding debts or taxes owed.

IRS CP220J Notice: How to Resolve Your ESRP Payment Issue
Published 10/24/2024 by Silas Bamigbola
The IRS CP220J Notice informs employers about an Employer Shared Responsibility Payment (ESRP) assessed under the Affordable Care Act (ACA). Applicable Large Employers (ALEs) may receive this notice if they did not offer sufficient health coverage to their full-time employees. It’s important to understand what the notice entails and to respond promptly to avoid additional penalties or interest charges.

IRS LTR6018 Notice: How to Verify Third-Party Authorization
Published 10/24/2024 by Silas Bamigbola
The IRS LTR6018 Notice is a formal letter sent by the IRS as part of their initiative to verify third-party authorizations on taxpayer accounts. The notice aims to protect your tax return information by confirming whether you authorized third-party access to your tax records. Responding to the letter within 30 days is crucial to avoid potential delays or complications with your tax account. This guide explains what the LTR6018 Notice entails, how to respond, and the implications of failing to act promptly.

IRS CP701e Notice: Steps for Responding to Identity Theft Alerts
Published 10/24/2024 by Silas Bamigbola
The CP701e Notice is sent by the IRS to notify taxpayers about potential identity theft involving their Social Security Number (SSN) for employment purposes. Although no immediate issues are detected with your tax account, it is important to take precautions to protect your personal and financial information. Recommended actions include monitoring credit reports, verifying Social Security records, and contacting credit bureaus. Understanding this notice and responding promptly can help you secure your information and avoid future complications.

IRS LTR5821 Notice: How to Renew Your Expiring ITIN
Published 10/24/2024 by Silas Bamigbola
The IRS sends an LTR5821 Notice to notify taxpayers that their Individual Taxpayer Identification Number (ITIN) is about to expire. If your ITIN is set to expire, you will not be able to use it to file your U.S. tax return, potentially delaying your refund or causing other tax complications. Understanding the notice, knowing who needs to renew, and promptly completing the renewal process can help you avoid issues with your tax filings.

IRS LTR6018a Notice: What to Do About Third-Party Access Requests
Published 10/24/2024 by Silas Bamigbola
LTR6018a is a notice sent by the IRS to inform taxpayers about third-party access to their tax accounts. If you receive this notice, it means you or someone else initiated a request regarding a third party’s authorization to access your tax information. Understanding why you received this notice and how to respond can help protect your personal information and ensure that your tax records remain secure.

CP279A Notice: What Is It and How Should You Respond?
Published 10/24/2024 by Silas Bamigbola
The CP279A notice from the IRS informs taxpayers that their qualified subchapter S subsidiary (QSub) election has been accepted. A QSub election allows an S corporation to designate a subsidiary corporation as a disregarded entity for federal tax purposes, simplifying the group’s tax reporting. The notice is important because it confirms the IRS’s acceptance of this tax election, which impacts how the parent S corporation files its tax returns. The notice may require taxpayers to update their address using Form 8822-B if changes have occurred, and it should be kept for future reference.

CP108 Notice: How to Resolve Unallocated Payments
Published 10/24/2024 by Silas Bamigbola
The CP108 Notice is an IRS notification sent to taxpayers when a payment has been received, but the IRS is unable to determine the appropriate tax form or tax year the payment corresponds to. This notice informs taxpayers about the uncertainty regarding the payment’s application and provides instructions on how to resolve the issue. Taxpayers can confirm if the payment was applied correctly or contact the IRS to clarify where it should be applied. Failure to address the notice may result in processing delays for tax returns or refunds.

How to Respond to CP248 Notice from the IRS
Published 10/24/2024 by Silas Bamigbola
The CP248 Notice is issued by the IRS when a taxpayer fails to make a required federal tax deposit (FTD) through the Electronic Federal Tax Payment System (EFTPS). This notice serves as a reminder to comply with federal tax deposit requirements, outlining the steps to take to resolve the issue and avoid future penalties. Understanding the reasons behind the notice and taking corrective action can help taxpayers stay compliant and avoid unnecessary fines or interest charges.

CP235 Notice: Avoid IRS Penalties With These Steps
Published 10/24/2024 by Silas Bamigbola
The IRS sends the CP235 Notice to notify taxpayers about using an outdated payroll tax deposit schedule. It typically arrives in November, informing employers that they need to adjust their deposit schedule based on total tax liability during a specific lookback period. This notice helps taxpayers avoid penalties by giving updated requirements for the upcoming tax year.
