VALID › Notice Library › CP71A notice
In the IRS’s own words · not reviewed by VALID
CP71A notice explained, in the IRS’s own words
We’re reminding you of an outstanding balance on your account. Your account will remain in non-collectable status until your financial situation changes.
Read the full CP71A page on irs.gov ↗
What this notice is about
We’re reminding you of an outstanding balance on your account. Your account will remain in non-collectable status until your financial situation changes.
What you need to do
- If your financial situation hasn’t changed, you don’t need to do anything at this time.
- Continue filing your taxes timely to let us know if your financial situation changes.
You may want to
- Learn more about your payment options and how to make a payment arrangement. Paying as soon as you can will minimize interest and penalties added to your balance.
- Learn more about how to submit an offer in compromise.
Frequently asked questions
Am I charged interest on the money I owe?
Yes, interest accrues on your unpaid balance until you pay it in full.
Do I receive a penalty if I cannot pay the full amount?
What happens if I cannot pay the full amount I owe?
You can arrange to make a payment plan with us if you cannot pay the full amount you owe.
How can I set up a payment plan?
Call the toll-free number listed on your notice to discuss payment options. Learn more about payment arrangements here.
What if I need help?
Tax professionals who are independent from the Internal Revenue Service (IRS) may be able to help you. Low Income Taxpayer Clinics (LITCs) can represent low-income persons before the IRS or in court. LITCs can also help persons who speak English as a second language. Any services provided by an LITC must be for free or a small fee.
Tips for future filing and payment compliance
- If you don't pay enough tax during the year, you may have to pay a penalty. To avoid penalties and having future refunds offset, consider adjusting your withholding. If you don't pay your tax through withholding, or don't pay enough tax through withholding, you might have to pay estimated tax. For more information, see Publication 505, Tax Withholding and Estimated Tax PDF.
- Consider filing your taxes electronically. Filing online can help you avoid mistakes and find credits and deductions that you may qualify for. In many cases you can file for free.
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.