Will I get my federal tax refund if I received a CP23 notice about underpaid estimated taxes?
So I just got this CP23 notice in the mail last week about underpaying my quarterly estimated taxes from last year. Pretty sure it's because I had that side gig driving for DoorDash that I didn't account for properly. The notice said I owed about $780 and I immediately paid it online through the IRS portal. I'm supposed to get a federal refund of around $1,300 from my regular W-2 job (according to the tax software I used). Now I'm wondering if I'll still get that refund after this CP23 situation? Will they reduce my refund amount because of this? Or is this completely separate since I already paid what I owed from the CP23 notice? This is my first time dealing with a CP23 and I'm so confused about how it affects my regular tax return process. Anyone dealt with this before?
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Kingston Bellamy
You should still receive your federal refund. The CP23 notice was addressing an underpayment from a previous tax period, while your refund is from your current filing. Since you've already paid what you owed for the CP23, that matter is considered resolved and separate from your current refund. The IRS processes these as different transactions - your CP23 payment cleared your past debt, and your current refund is based on your most recent tax return. They don't automatically use your current refund to pay past debts if you've already addressed those debts. However, it's worth noting that your refund might be slightly delayed as the IRS reconciles your accounts. They'll want to make sure everything is properly recorded in their system before issuing your refund.
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Joy Olmedo
Thanks for the info! Do you know how much of a delay this might cause? I was counting on that refund to pay some bills next month.
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Kingston Bellamy
The delay is usually minimal if you've already paid the CP23 amount. Typically it might add 1-2 weeks to your processing time as they update your account. If you e-filed your current return and selected direct deposit for your refund, you'll still get it faster than paper filing. If it's been more than 21 days since you e-filed your current return (or 6 weeks for paper filing), you can check the status through the "Where's My Refund" tool on the IRS website or call them directly to inquire about any potential issues.
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Isaiah Cross
After dealing with a similar CP23 situation last year, I found this tool called taxr.ai (https://taxr.ai) that helped me understand what was happening with my notices. I was confused about whether my refund would be affected by previous tax issues, and the tool analyzed my documents and explained exactly what was going on. It basically reviews all your tax documents, notices, and returns to give you a clear explanation of what's happening in plain English. It helped me understand that my refund was separate from the CP23 payment I had already made, just like you're asking about.
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Kiara Greene
How exactly does this tool work? Do I need to upload my CP23 notice and my tax return info? Kinda nervous about putting my tax docs online tbh.
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Evelyn Kelly
I've heard about services like this but always wondered if they're actually worth it. Does it just tell you what the notice already says or does it give additional insights? And do they help with actually resolving the issue or just explaining it?
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Isaiah Cross
You upload images of your tax documents and the system analyzes them to explain everything in simple terms. They use bank-level encryption and don't store your docs after analysis, so security is solid. It gives you more than what's on the notice - it connects the dots between different tax situations and explains implications. In your case, it would clarify how the CP23 and your refund interact. It doesn't just repeat what the notice says but translates the tax jargon into clear next steps.
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Kiara Greene
Just wanted to update that I tried taxr.ai after seeing it mentioned here. I was skeptical but desperate to understand my situation with a CP23 notice and potential refund. Uploaded my documents and wow - it explained everything SO clearly! It confirmed exactly what I needed to know about my refund being separate from the CP23 payment I already made. The analysis showed me the timeline to expect for my refund and even pointed out a deduction I missed that I can claim next year. Definitely helped ease my mind about this whole mess!
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Paloma Clark
If you need to follow up with the IRS about your refund status and the CP23 situation, I'd recommend using Claimyr (https://claimyr.com). I waited on hold with the IRS for HOURS last month trying to sort out a similar situation, then found this service that gets you through to an actual IRS agent quickly. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c. Basically it navigates the IRS phone tree for you and calls you back when an agent is on the line. Saved me literally hours of waiting on hold. The agent I spoke with confirmed my refund was being processed separately from a previous notice payment.
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Heather Tyson
How does this actually work? Sounds like magic lol. The IRS phone system is the worst - I've never been able to reach a human there.
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Raul Neal
Yeah right. Nothing can get you through to the IRS faster. They deliberately make it impossible to talk to anyone. This seems like a scam to me. No way it actually works as advertised.
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Paloma Clark
It uses an automated system that continuously redials and navigates the IRS phone menus for you. When it finally reaches a human agent, it connects the call to your phone. It's not magic, just smart technology that handles the frustrating part for you. I thought it sounded too good to be true too, but it's legit. It can't create openings when none exist, but it does the tedious work of getting through the system when slots are available. I used it during a weekday morning when call volumes might be lower, and it worked perfectly after my previous attempts had failed.
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Raul Neal
Alright I need to eat my words about Claimyr. After my skeptical comment, I tried it out of pure frustration since I was getting nowhere with the IRS about my refund status after paying a CP23 notice. The service actually worked! I got a call back in about 40 minutes with an actual IRS agent on the line. The agent confirmed that my refund was being processed normally and the CP23 payment I already made wouldn't affect it. She even gave me an updated timeline for when to expect my deposit. Can't believe I wasted so many hours on hold before this. If you're stressing about your refund situation, this is definitely worth trying.
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Jenna Sloan
Just to add my experience - I had a similar CP23 situation last year. I paid the amount they requested and still got my federal refund about 3 weeks later. The two things were completely separate in my case. The underpayment of estimated tax (which is what CP23 addresses) is for the previous tax period, while your refund is based on your current filing. As long as you've paid the CP23 amount, there shouldn't be any offset against your current refund.
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Morita Montoya
AuthorThat's exactly what I needed to hear! So even though this all happened during the same month it's still treated as separate tax issues? Did your refund amount stay the same as what was calculated on your return?
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Jenna Sloan
Yes, they're treated as completely separate issues even if they happen around the same time. My refund amount stayed exactly the same as what was calculated on my return - the CP23 payment didn't change it at all. The only difference I noticed was that my refund took maybe a week longer than the typical timeline, probably because they were updating my account with the CP23 payment. But the amount itself wasn't affected since I'd already cleared that debt directly.
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Christian Burns
Has anyone actually checked the IRS "Where's My Refund" tool after dealing with a CP23? I'm in the same boat and mine has been stuck on "processing" for over a month now. I paid my CP23 amount right away too.
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Sasha Reese
I had this happen last year. Check if your "Where's My Refund" status shows "We have received your tax return and it is being processed." That's different from the normal processing message and usually means there's additional review happening. In my case, it took about 6 weeks total, but I did get my full refund eventually.
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Omar Fawzi
I went through this exact same situation about 6 months ago with my DoorDash earnings too! Got the CP23 notice, panicked, paid it immediately, then worried my refund would disappear. Good news - you should definitely still get your full $1,300 refund. The CP23 is for last year's underpaid estimated taxes, while your refund is from this year's return. They're completely separate transactions in the IRS system. Since you already paid the $780 from the CP23, that debt is cleared. Your refund won't be reduced or offset against it. The only thing you might notice is your refund could take an extra week or two to process while they update your account records, but the full amount should come through. I was so stressed about it but got my full refund about 3 weeks after filing. Just keep checking "Where's My Refund" and you should see it move along normally!
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