CP503: the second reminder about an unpaid balance

What a CP503 means

A CP503 means the IRS hasn't heard from you and you still owe a balance on a tax account. The IRS calls it a second reminder, sent after earlier notices about the same balance went unanswered. [1]source 1

The Taxpayer Advocate Service titles it the second notice for a balance due. [2]source 2

It is still a bill. The next step in the usual order is the CP504, which is a notice of intent to levy, so this is the notice we would not let sit.

Why people get one

• The first bill and the reminder after it both went unpaid or unanswered.
• A payment or a payment plan wasn't on the account yet when the notice went out.
• A payment went to a different year or account than you meant.

First steps

1. Find the tax year and the amount, and check them against your return and your payment records.
2. Check your IRS online account (typed in yourself at irs.gov) to confirm the notice is real and see the balance and any payments already posted. [1]source 1
3. If the amount is right, pay it by the due date, online or by mail with the bottom part of the notice so the payment posts correctly. [1]source 1
4. If you can't pay it all, apply online for a payment plan or mail Form 9465. [1]source 1
5. If you disagree, or already paid or set up a plan, call the number printed on your notice so the account shows it. [1]source 1

What not to do

• Don't wait for the next letter. The IRS says it may file a Notice of Federal Tax Lien if the balance isn't paid or arranged. [1]source 1
• Don't pay through a link or phone number from an unexpected email or text. Use irs.gov, typed in yourself.
• Don't assume a payment you already sent fixed it. Check that it posted.

Where it sits

Related notices

• Comes before CP501 The first reminder.
• Can come next CP504 The notice of intent to levy if the balance stays unpaid.

Keep reading

• Installment agreement
• First-time abatement

Questions