VALID › Notice Library › CP152A notice
In the IRS’s own words · not reviewed by VALID
CP152A notice explained, in the IRS’s own words
We received your Form 8038-CP, Return for Credit Payments to Issuers of Qualified Bonds. This notice explains why we reduced the credit payment you requested.
Read the full CP152A page on irs.gov ↗
What this notice is about
We received your Form 8038-CP, Return for Credit Payments to Issuers of Qualified Bonds. This notice explains why we reduced the credit payment you requested.
What you need to do
You don't need to take any action.
You may want to
Keep this notice for your records.
Will I receive a notice for each Form 8038-CP I filed?
Yes. We'll send a separate notice for each form.
Why was my credit payment reduced?
Under the Balanced Budget and Emergency Deficit Control Act of 1985, as amended, refund payments issued to and refund offset transactions for certain state and local government filers of Form 8038-CP are subject to sequestration.
This means that any refund payments and refund offset transactions processed between October 1, 2020, and September 30, 2030, will be reduced by 5.7%. The reduction applies no matter when the IRS received your form.
Can I appeal the decision to reduce my refund?
No. The law requires this reduction, and it cannot be appealed.
What to do next
- Write down the date on the letter today.
- Look the number up on irs.gov yourself. Don’t trust a link or phone number from anyone else.
- If it says you owe money or proposes changes to your return, take it to a licensed CPA, EA or tax attorney before that date.
Not advice. Not a filing. Verify with a licensed professional. Rules change by year and facts.