What This Notice Means

The IRS made changes to your tax return for the year shown on the notice. Those changes also changed the amount you owe for the shared responsibility payment (SRP).

The SRP was the payment assessed for not having minimum essential health coverage for yourself and, if applicable, your dependents. It was discontinued as of 2018. That doesn't erase amounts owed for the years covered by the notice.

If You Agree

  • If you have a balance due, pay it by the date on the notice to avoid more interest. Paying online makes sure it arrives on time.
  • If you can't pay in full, set up a payment plan.
  • If the IRS owes you a refund and you haven't received it, expect it within 2 to 3 weeks of the notice date. If it doesn't arrive, call the number on your notice.
  • Correct your copy of the return for your records.

Any refund may include interest. Interest on a tax refund is taxable income in the year you receive it.

If You Disagree

Call the number on your notice. Mention you received a CP21H and need to review your account. Have the notice and your tax return in front of you. The same call can explain what was changed and why if the notice doesn't make it clear.

If you need to make another correction to the return, file Form 1040-X, Amended U.S. Individual Income Tax Return.

If You Don't Pay

The law prohibits the IRS from using liens or levies to collect an individual SRP. But interest keeps building until you pay the full balance, and the IRS may apply future tax refunds to what you owe.

Other Problems

If you think you're a victim of identity theft, call the number on your notice. If you've contacted the IRS several times without getting answers, the Taxpayer Advocate Service can help.

If a CP21H is part of a bigger IRS balance problem, call us at (813) 229-7100.