Got CP140 letter for overdue taxes with zero prior notification from IRS

8 Unfortunately, the CP140 is usually not the first notice the IRS sends. It's typically sent after several previous notices (often a CP14 first, followed by others). The IRS sends notices to your last known address, which is usually the address on your most recent tax return. If you've moved without updating your address with the IRS (using Form 8822), those earlier notices might have gone to your old address. You have a few options: 1) Call the IRS directly using the number on your notice to explain the situation and ask if they can remove the interest charges due to not receiving previous notices. 2) Write a letter requesting abatement of interest due to reasonable cause (no prior notification). 3) Pay the full amount now to stop additional interest from accruing, then pursue option 2 after payment.

12 After dealing with a similar situation last year, I found an amazing tool that helps decode these confusing IRS notices and tells you exactly what to do. I was completely lost with my CP140 letter until I used https://taxr.ai to scan my notice and got step-by-step instructions. It explained what the CP140 actually meant, showed me my options (including how to request interest abatement), and even gave me templates for responding to the IRS. Their system checks for IRS errors which could help your case if you're arguing you never received prior notices.

14 I was really doubtful about using an online tool for my tax problems, but I finally tried taxr.ai with my CP140 letter last month after getting nowhere with the IRS. I'm actually shocked at how helpful it was! It identified that the IRS had sent previous notices to my old address even though I'd filed an address change form, which gave me solid grounds for disputing the interest charges. I wouldn't have known to check that detail otherwise. The site generated a perfect response letter that I just printed, signed and mailed. Got confirmation last week that the IRS is removing about $175 in interest charges. Honestly wish I'd known about this sooner instead of stressing for weeks.

10 After spending 3 days trying to get through to the IRS about my CP140 (constant busy signals and disconnects), I discovered https://claimyr.com which basically holds your place in the IRS phone queue and calls you when an agent is about to answer. You can see how it works at https://youtu.be/_kiP6q8DX5c. I was able to actually speak with someone at the IRS within an hour rather than wasting days trying. The agent confirmed they had been sending notices to my previous employer's address (???), admitted it was their error, and removed the interest charges. Definitely worth trying if you need to talk to a human at the IRS!

14 I'm eating my words about Claimyr. After posting my skeptical comment, my CP140 issue became urgent when I discovered the IRS was threatening to put a lien on my property. I tried calling for 2 days straight with no luck, so I reluctantly tried the Claimyr service. Got connected to an IRS agent in 47 minutes, and they confirmed they had been sending notices to my old address from 3 years ago despite me filing change of address forms twice. The agent immediately put a hold on collection activities and helped me set up an installment plan with reduced penalties. Hate to admit it, but this service probably saved me thousands in the long run. Sometimes it's worth spending a little to protect yourself from the IRS's broken systems.

17 I went through this exact thing last year! One thing nobody mentioned yet - check if the CP140 is legitimate. There are lots of tax scams going around. You can verify by calling the IRS directly (not using the number on the letter) or checking your tax account online at irs.gov. My "CP140" turned out to be a sophisticated fake!

22 Has anyone actually had success getting interest charges removed without a ton of hassle? I'm in the same boat with a CP140 and just wondering if it's worth the fight or if I should just pay it and move on.

I've been following this thread closely since I'm dealing with a similar CP140 situation. One thing that might help everyone here - you can also request penalty abatement separately from interest abatement using Form 843. The IRS has "first-time penalty abatement" policies that are pretty generous if you have a clean compliance history for the past 3 years. Even if they won't remove the interest, they might remove penalties which can be a significant portion of what you owe. I got my penalties waived last year just by calling and asking - didn't even need to submit paperwork. Worth trying before paying the full amount, especially since it sounds like several people here have legitimate grounds for dispute due to address issues.

I'm dealing with a very similar CP140 situation right now - received it last week claiming I owe $1,200 in back taxes plus interest, but like you, this was literally my first notice about any issue. I've been reading through all these responses and it seems like there are several good strategies to try. Based on what everyone's shared, I'm planning to: 1) Request an account transcript first to see what notices they claim to have sent, 2) Call the IRS using the general number to ask about first-time penalty abatement since my record has been clean, and 3) If needed, submit a written request for interest abatement due to not receiving prior notices. The consensus seems to be that even if you can't get everything removed, you can often get at least the penalties waived. Has anyone tried combining these approaches - going for both penalty abatement AND interest removal at the same time?

I've been dealing with IRS notices for years as a tax preparer, and I want to add something important that hasn't been mentioned yet. When you request your account transcript (which several people correctly suggested), make sure to get both your "Account Transcript" AND your "Record of Account Transcript" - they show different information. The Record of Account will show every single action the IRS took on your account, including when notices were generated, printed, and supposedly mailed. This detailed timeline can be crucial evidence if you're arguing you never received prior notices. Also, regarding the interest abatement - the IRS uses very specific language for these requests. Instead of just saying "I never got the notices," you need to frame it as "reasonable cause" under IRC Section 6404(e)(1). The magic words are that the interest accrued due to "unreasonable error or delay" by the IRS in not properly notifying you. This technical language can make a big difference in how your request is processed. One more tip: if you do end up paying while disputing, make sure to specify that your payment is being made "under protest" and request a receipt. This preserves your right to claim a refund later if your dispute is successful.

This thread has been incredibly helpful! I'm dealing with a CP140 notice myself (just received it yesterday) and I'm taking notes on everyone's strategies. One question I haven't seen addressed yet - for those who successfully got interest or penalties removed, how long did the whole process take from start to finish? I'm trying to decide whether to pay immediately to stop additional interest from accruing, or wait to see if I can get some relief first. Also, did anyone run into issues with the IRS claiming they DID send previous notices even when you have proof you didn't receive them? I'm worried about getting into a "he said, she said" situation where they insist notices were sent but I have no way to prove I didn't get them.

I want to add one more resource that hasn't been mentioned yet - the Taxpayer Advocate Service (TAS). If you're having trouble getting the IRS to respond to your requests or if you're facing financial hardship because of this situation, you can contact TAS at 1-877-777-4778. They're an independent organization within the IRS that helps taxpayers resolve problems when normal channels aren't working. TAS can be particularly helpful if you're dealing with systemic issues like notices going to wrong addresses repeatedly, or if the IRS isn't responding to your abatement requests within reasonable timeframes. They have the authority to issue Taxpayer Assistance Orders that can stop collection actions while your case is being reviewed. I used TAS last year when the IRS kept insisting I owed money that I had already paid, and they were able to get everything sorted out within a few weeks when my own calls and letters weren't getting anywhere. It's a free service and they really advocate for you against the IRS bureaucracy. Worth keeping in your back pocket if the standard approaches don't work out.