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If you’ve received a CP13 notice, it means the IRS made changes to your return that did not change what you owe. This might be because you weren’t using the full amount of a non-refundable tax credit or because you had a large enough deduction to keep your income in the 0% bracket.
You can view a sample CP13 notice here.
If Nothing is Changing, Why Should I Care About a CP13 Notice?
There are two reasons you should look into why the IRS made changes.
The first is if it changed your income. In addition to taxes, your AGI might be used to calculate things such as Obamacare subsidies, student loan repayments, Medicaid eligibility, or other income-contingent programs. If your wages or net business income were changed, it could also affect your Social Security earnings.
The second is because there might be other mistakes on your return. For example, you might have not claimed a deduction because you filled out a form incorrectly. When the IRS tried to correct the form, it might have made changes that it thought were accurate because it didn’t have all the information it needed. If you go back and amend your return to fill out the form properly, you might be able to take the deduction and receive a refund.
What Do I Do if I Think My Refund Should Have Been Larger?
You have two options if you review the IRS changes and realize that you made a mistake but the IRS didn’t fully correct it.
- If the IRS made a specific error such as saying you weren’t qualified for a credit you claimed, you can disagree with the IRS and respond to the CP13 notice.
- If you made an error and the IRS changes didn’t properly fix it, you’ll probably want to file an amended return with the correct information.
Does a CP13 Notice Let Me Off the Hook if I Think I Owe More?
In some cases, you may realize that you made an error and should have paid more in taxes. A CP13 is not saying that you don’t owe more, that you filed your return properly, or that you won’t be audited in the future. A CP13 is saying that the IRS found a calculation error and made correct calculations based on the information you gave.
To avoid possible interest and penalties in the future, you should file an amended return.
What if I Completely Agree with the IRS?
If you agree with the changes the IRS made and don’t believe you made any other errors, no response is needed. You can save the CP13 with the rest of your tax documents.