CP11 Notice: IRS Corrected Your Return and You Owe

A CP11 says the IRS corrected one or more mistakes on your tax return and that, as a result, you owe more tax than you expected. Unlike a bill for tax you simply did not pay, a CP11 changes the return itself, and the notice carries a date after which some of your rights narrow.

What kinds of corrections

The notice has a section titled "What we changed on your return" that lists each change line by line, and a section called "Where to find more information" that gives the phone number. The correction might involve arithmetic, a credit amount, a missing or mismatched number, or a figure the IRS could verify from its own records. Reading that section first tells you whether the IRS or your return is wrong.

A CP11 is one of a family. A CP12 means the correction produced a refund that differs from what you expected. A CP13 means the correction left a zero balance. For a quick comparison, see CP12 and our notice lookup.

If you agree

1. Pay the full amount by the due date to avoid additional penalties and interest.
2. If you cannot pay in full, set up a payment plan (installment agreement) online or by mail. See installment agreements.
3. Mark the corrections on your personal copy of the return. The IRS says not to send it the corrected copy.
4. If your tax preparer prepared the return, give them the notice so their file matches.

If you disagree

The IRS says phone contact is the fastest way to resolve many return errors. Call the toll-free number on the notice by the response date. If the IRS needs a missing or corrected document, you can fax it during the call.

The IRS explains that most changes that increased the amount you owe, or that reduced a requested refund, will be reversed on request. You do not have to explain why, though a brief explanation may speed things up. If you do not provide support for your original return, the case may be sent for audit, and audit staff would contact you within about six weeks.

Interest and penalties

To avoid more interest, pay the full amount by the due date. Otherwise, interest accrues on the unpaid balance from the original due date of the return. A late payment penalty applies if you do not pay in full. If circumstances beyond your control kept you from paying, call by the due date. The IRS says the penalty may be removed depending on the situation. See failure-to-pay penalty and how to request penalty abatement.

If the IRS missed something

If the IRS's correction is right but you spotted another error, such as a missing credit, file Form 1040-X rather than only calling. See amended returns. The IRS recommends e-filing next year because it helps reduce errors and find credits.

Common mistakes

• Sending the corrected return to the IRS, which creates a second filing for no reason.
• Paying less than the notice amount and assuming the rest was forgiven.
• Calling after the date and expecting formal appeal rights.
• Changing the tax year in your payment memo, which may misapply the payment.
• Missing that a change flows through to a state return. Check your state filing too.

When to involve a CPA

If the change is large, if it affects a credit or dependent, or if you do not understand the correction, have a CPA read the notice alongside your return. We can also confirm whether the correction affects other years. With a signed Form 2848, we can call the IRS on your behalf.

How we can help

We can compare the IRS's change with your return, prepare documents to support your position, and set up payment if you owe. See our IRS representation services or contact us.

Frequently asked questions

General information only, not tax, legal or accounting advice for your situation. Rules, limits and deadlines change; confirm the current rules with the official source or a qualified professional before you act. Reading this page does not create a professional relationship with CPA Tax Payroll and Accounting Corp.