IRS Notice CP215: What It Means and What to Do

Why did I get a CP215?

Common reasons include:

• Information returns (such as Forms 1099) filed late, incorrectly or with missing or wrong TINs
• A penalty assessed after an IRS examination
• Other miscellaneous civil penalties assessed outside of an income tax return

What should I do?

1. Read the notice carefully; it explains the penalty, amount due, due date and payment options.
2. Check which penalty was charged and for which period.
3. If you agree, pay in full by the due date to stop more penalties and interest from adding up.
4. If you can't pay in full, apply for a payment plan through the Online Payment Agreement tool or call the number on your notice.
5. If you disagree, or you had reasonable cause, call the number on your notice with your documents ready.

What documents do I need?

• The CP215 notice
• The return or filing the penalty relates to
• Proof of timely filing or payment, if you have it
• Records that support reasonable cause (for information return penalties, see Publication 1586)
• Any prior IRS letters about the same penalty

What should I avoid?

• Don't ignore the due date; interest adds up on unpaid amounts after it.
• Don't call without your records (canceled checks, amended returns, filing proof) ready.
• Don't assume the penalty can't be reduced; reasonable cause relief may be available.

What if I disagree with a CP215?

Call the toll-free number on your notice and have your paperwork (such as canceled checks or an amended return) ready. If you believe you had reasonable cause, explain it and provide support; for information return penalties, Publication 1586 describes the reasonable cause rules. A denied penalty abatement request may be appealed as described in Publication 5.

What happens if I ignore a CP215?

Interest generally adds up on the unpaid amount after the due date, and further penalties may apply. Unpaid penalties may lead to collection notices and actions like any other IRS balance.

What else should I know about CP215?

The CP215 is a general notice of penalty charge, so the notice itself tells you which penalty applies. Internal IRS procedures show it is generated from the IRS civil penalty module, for example for late information returns from prior years or for penalties assessed on Form 8278 after an exam. Because these penalties often aren't tied to a tax return you filed, the best fix usually depends on the specific penalty code. The IRS points readers of this notice to Publication 1586, which sets out the reasonable cause rules for missing or incorrect payee TINs. A payer who followed the solicitation steps may be able to get the penalty reduced or removed.