Warning - Attention Needed

IRS CP2000 Notice

Underreporter Notice

IRS records do not match your return

What is CP2000? The CP2000 notice indicates that the income or payment information the IRS received from third parties (employers, banks, etc.) does not match what you reported on your tax return.

What This Notice Means

The CP2000 notice indicates that the income or payment information the IRS received from third parties (employers, banks, etc.) does not match what you reported on your tax return. This is NOT a bill - it is a proposed adjustment.

Why You Received This Notice

1
A W-2, 1099, or other form reported income you did not include
2
You may have forgotten to report some income
3
There may be an error in third-party reporting
4
A deduction or credit you claimed could not be verified

Important Deadline

Reply by the date listed on your notice. The IRS states no number of days on the CP2000 page.

What You Should Do

Compare the notice to your records carefully
If the IRS is correct, you can agree and pay the proposed amount
If you disagree, respond with documentation by the deadline
Keep copies of everything you send

Resolution Options That May Help

Penalty Relief

Situations where the same return type was filed on time for the prior three years and no penalty was assessed in that window — the timely compliance history the IRS tests for administrative relief

Payment Plan

Taxpayers with steady income who can afford monthly payments

What NOT to Do

Do NOT ignore this notice - it will become a bill
Do NOT assume the IRS is always right - errors happen
Do NOT send original documents - send copies only

Frequently Asked Questions

Is CP2000 a bill?

No. The IRS describes it as a notice that income or payment information it received from third parties, such as employers or financial institutions, does not match what you reported. It states that if you don't reply or the discrepancy can't be resolved, it may send another notice and a bill.

Is CP2000 an audit?

No, CP2000 is not a formal audit. It is an automated matching notice. However, if you do not respond appropriately, it can lead to an assessed balance and collection action.

What if I disagree with CP2000?

You can respond in writing with an explanation and supporting documents. If the income was reported incorrectly by a third party, provide evidence. If you disagree after their response, you can request an appeal.

Need Help With This Notice?

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Recommended Next Steps

Review the proposed changes carefully
Gather supporting documentation if you disagree
Respond by the deadline, even if you need more time

Sources and last reviewed

Understanding your CP2000 notice — Internal Revenue Service, retrieved 2026-08-20

Sourced to primary IRS materials and editorially reviewed on 2026-08-20. Not reviewed by a tax professional. Not tax advice. This page explains a notice in general terms and is not tax or legal advice about your situation. Always use the dates and instructions printed on the notice you actually received. Report a correction.