What This Notice Means

The IRS made changes to your excise tax return because it believes there was a miscalculation. After those changes, there is a balance due of less than $1.

You don't have to pay if you owe less than $1.

What to Do

  • Read the notice carefully. It explains the changes to your tax account.
  • Compare the figures on the notice with your excise tax return.
  • If you agree, correct the copy of the return you kept for your records. No further action is required.
  • If you disagree, contact the IRS within 30 days of the date of the notice.

If You Disagree

Call the number on your notice or respond in writing within 30 days of the notice date. If your response gives the IRS additional information that justifies reversing the change, the IRS will reverse it.

Make your response specific. Identify the line or figure you disagree with and include the records that support your number. Keep a copy of the notice and of everything you send. If you respond by mail, use certified mail.

To learn exactly what caused the change, call the number listed on your notice. Have your return in front of you when you call.

Why It Still Matters

Excise tax returns are filed regularly. If a calculation error caused this change, the same error can show up again on your next return, where the dollars may be larger. Find the cause now.

Next Time You File

Consider filing your excise tax returns electronically. Filing online helps you avoid math mistakes. Publication 510, Excise Taxes, covers the rules for these returns.

If you received a CP124 notice and want help with your excise tax filings, call us at (813) 229-7100.