CP49 "Overpaid Tax Applied to Other Taxes You Owe" may appear in the mail completely without warning. You want to find out exactly why the IRS sent you the notification; what happened? We recognize you have concerns about Notice CP 49, so we're resolving them here. It's not easy to resolve the economic issues brought on by CP 49, but it is not undoable.
What CP-49 Indicates
The IRS delivers IRS IRS Notice CP 49 to notify you that you paid more than you should have on one of your tax accounts. The letter notifies you that you overpaid the IRS, and all or some of the additional funds will be applied to other taxes you owe. The "overpayment" outlined in the CP 49 IRS Notice is actually your tax refund. This document lets you know that your refund is being applied to your tax debt.
Notice CP 49 Explained
The years of the taxes, how much is being applied from the overpayment, and the amounts leftover, if any, are specified in the notice. In case there are funds left over, the notification could also clearly show whatever is leftover that will be paid back to you. State taxes are excluded, as this notification can only apply for federal taxes owed.
Why Did the IRS Give Me CP-49 in the Mail?
Basically, CP-49 is mailed to tell you that funds are due to the IRS that must be returned fully. They are making you aware of it the painful way by taking ownership of the money from your balance by force. This may seem shady, but that is pretty much how the IRS works.
Getting Familiar with the CP-49 IRS Notice in Three Segments
* There are three distinct portions in IRS Notice CP49. Portion one of IRS Notice CP 49 covers the amount of your tax refund and tells you how much was put towards the IRS tax debt owed. Keep on reading and you will see if any extra cash was returned to you or utilized on another debt. The third and final section identifies how the IRS will refund the overpayment of your IRS tax debt if the overdrawn balance was actually repaid.
* The second segment of this letter points out the overpaid account and will let you know what the original amount was, credits or interest quantities included in to the overpayment, the total amount with the inclusion of credits and interest, and the ending total with the account balance due .
* The third and concluding component of the letter is in relation to the account balance due and shows you the number of the account with what is due, the tax period of the account with the debt due, the money ascribed to the , and the sum leftover on the account with the debt due.
What Am I Supposed to Do When I Receive Notice CP 49 from the Internal Revenue Service?
You may be one of the fortunate few whose IRS tax debt was paid off entirely by the refund. If you have no problems with this, you shouldn't need to take further action from here. But, this is almost never a normal circumstance when dealing with CP49. You might be among those who don't agree with the details in IRS Notice CP49. What to do for either case are covered in the following:
- Amount of Overpayment Was Inaccurate: You can get in touch with the IRS in the instance that you don't agree with any part of CP49. The IRS may send the CP12 IRS Notice to further clarify where the overpayment on your account originated.
- The Amount Owed Under Consideration Has Previously Been Satisfied: Keep a duplicate of your canceled check that you utilized to repay the IRS accessible and contact them by phone. If the IRS cannot swiftly find proof that you already paid back the tax debt on their end, the IRS will almost definitely ask for proof, like a legible photocopy of the check that was paid to them or a canceled check. When you continue to be in debt to the IRS, the IRS will ensure they do not send any further notifications unless they complete their groundwork