The CP13 means the IRS made changes to your tax return, and after the adjustments, you neither owe money nor are owed a refund. The changes netted out to zero. In the world of IRS notices, this is about as neutral as it gets.
What Changed
The notice explains what the IRS adjusted. Common changes include corrections to credits or deductions, adjustments to income based on information returns, math corrections, and recomputed tax. The notice should show each change and the resulting zero balance.
Should You Worry
Generally, no. A CP13 with a zero balance means you don't owe anything and the IRS isn't holding your money. However, review the changes to make sure they're correct. If the IRS disallowed a legitimate deduction and simultaneously corrected a math error in your favor, the net might be zero, but you may still want to dispute the disallowed deduction on principle or for its impact on state taxes.
If the Changes Are Wrong
Even though the net impact is zero for federal purposes, incorrect changes on your federal return can affect your state return. If your state uses federal adjusted gross income as a starting point, a change to your federal AGI flows through to your state taxes. Review the changes with both your federal and state returns in mind.
If the IRS's adjustments are incorrect, respond within 60 days (for math error authority changes) with documentation supporting your original entries.
If you have questions about a CP13, call us at (813) 229-7100.