CP2000: a proposed change because income didn't match

What a CP2000 means

A CP2000 says the income or payment information the IRS got from third parties, like employers and financial institutions, doesn't match your return. The notice lays out a proposed change and the information behind it. The change can raise your tax, lower it, or leave it alone. [1]source 1

The IRS says it isn't a bill, and that your response may be required. [1]source 1 It is a proposal, and you get to answer it before anything is assessed.

The series includes CP2000A through CP2000E. Some of those are recomputed versions sent after you reply, or after an earlier CP2501 got no reply. [1]source 1 [3]source 3

We read a CP2000 line by line against the forms that were actually issued. Most of the work is matching, not arguing.

Why people get one

• A Form W-2, 1099 or similar form reached the IRS but the income wasn't on your return.
• You reported the income, but in a different place or amount than the payer reported it.
• A payer made an error, or the form belongs to someone else.
• An earlier CP2501 went unanswered.

First steps

1. Read the whole notice and line up each item with the forms you received and your return. [1]source 1
2. Check your IRS online account, typed in yourself at irs.gov, to see the notice and your balance or payments.
3. If a response form came with it, fill it in, sign it, mark whether you agree or disagree, and attach copies of your support. [1]source 1
4. Send it by upload, fax or mail, as the notice and the IRS page describe. The IRS calls upload the fastest. [1]source 1
5. If you agree and have nothing else to report, you don't need to amend. If you also have other income, credits or expenses, the IRS asks for a Form 1040-X with CP2000 written on top, sent with the response form. [1]source 1
6. If you agree and owe, pay or set up a payment plan. The IRS notes interest runs until the balance is paid. [1]source 1

What not to do

• Don't let the date pass. After a CP2000, the next step can be a statutory notice of deficiency. [2]source 2
• Don't agree to an item just to make it go away if the form behind it is wrong. Say so, with support.
• Don't pay or send documents through a link or phone number in an unexpected email or text. Use irs.gov, typed in yourself.
• Don't send originals. Send copies and keep the originals.

Where it sits

Related notices

• Comes before CP2501 The earlier information request that sometimes comes first.
• Can come next CP3219A The statutory notice of deficiency if the CP2000 isn't resolved.

Keep reading

• CP2000
• Matching program
• Amending a return with Form 1040-X
• Notice of deficiency

Questions