Receiving a notice from the IRS can feel overwhelming—especially when it’s unfamiliar. The CP75 notice is an audit notice sent to inform you that your original tax return has been selected for further review. Specifically, the IRS is requesting specific documents to verify tax matters such as credits you claimed, including the Earned Income Tax Credit (EITC), Additional Child Tax Credit (ACTC), Recovery Rebate Credit (RRC), or Premium Tax Credit (PTC). Until the audit process is complete, the portion of your refund tied to these credits will be placed on hold.
Many taxpayers worry that being selected means they made a mistake or are being accused of fraud. However, receiving a CP75 notice does not mean you’ve done anything wrong. The IRS selects returns using random selection, automated systems, and data comparisons with other taxpayers through third-party reports like W-2s and 1099s. The goal is to ensure all information has been reported accurately, not to accuse or penalize you without cause.
Understanding this written request and how to respond is key to protecting your refund and ensuring you receive professional and courteous treatment. This guide will explain why the IRS may review your return, what information it gathers, and how to respond effectively—especially if your earned income tax credit is at risk. By acting promptly and following current tax laws, you can confidently minimize delays and navigate the process.
An IRS CP75 notice is an official written request informing you that your original tax return has been selected for an audit. This type of audit notice is conducted entirely by mail—often referred to as a correspondence audit—and focuses on verifying tax matters related to refundable credits such as the Earned Income Tax Credit (EITC), Additional Child Tax Credit (ACTC), Recovery Rebate Credit (RRC), or Premium Tax Credit (PTC). When selected, the IRS places a hold on the portion of your refund associated with these credits until the audit process is complete and all specific documents are reviewed.
Unlike a field audit, which may occur at the taxpayer’s home or IRS office, the CP75 audit is handled by mail. The notice includes forms and instructions—such as Form 886-H-EIC—outlining the information needed to verify your eligibility for these tax credits. Depending on your situation, these may include records about your income, dependents, or business expenses. The audit may be resolved without further contact once the IRS receives and reviews your documents.
It’s important to understand that receiving a CP75 notice does not mean the IRS suspects fraud or misconduct. The IRS uses methods like random selection, computerized screening, and comparison with data from other taxpayers to flag returns for review. If something on your return appears inconsistent with their records or raises a statistical flag, the IRS may issue a CP75 to ensure everything was reported accurately under existing tax laws.
Understanding the purpose of this notice helps reduce anxiety and sets you up for success. You are entitled to professional and courteous treatment from IRS employees throughout the process, and you may even authorize a representative to respond on your behalf. By reacting promptly—typically within 30 days—and providing all necessary documentation, you can help protect your refund and avoid additional complications.
If you’ve received a CP75 notice, it means the IRS has selected your tax return for audit—but this doesn’t necessarily mean you made a mistake. The IRS uses several selection methods to determine which returns need additional review. Below are the most common reasons your return may have been flagged for a CP75 notice.
Some audits are selected entirely at random. The IRS uses this method to assess overall compliance and spot-check returns from various taxpayers. Even if your return is accurate, you may be chosen as part of this quality review process.
The IRS runs all tax returns through computerized systems that compare your filing to others in similar income ranges and filing categories. If your return shows unusual patterns—such as high refundable credits or changes in filing status—it may trigger an audit. This doesn’t suggest fraud but does prompt further verification.
Tax returns are matched against income and personal data reported by employers, financial institutions, and government agencies. If your return includes income, dependents, or other information discrepancies, the IRS may request documentation through a CP75 notice. These mismatches are often the result of simple reporting errors.
Significant differences between your current return and prior year filings can raise red flags. These include adding a new qualifying child, switching to head of household status, or claiming new refundable credits. The IRS may seek documentation to confirm that these changes are legitimate. Understanding these selection methods will help you prepare your response. Next, we’ll cover what documents the IRS typically requests in a CP75 audit.
When the IRS issues a CP75 notice, it asks for documentation to verify one or more refundable credits on your tax return. These may include the Earned Income Credit (EIC), Additional Child Tax Credit (ACTC), Recovery Rebate Credit (RRC), Premium Tax Credit (PTC), or others. The notice will often list specific forms and instructions. Submitting accurate, complete documents by the deadline is critical to avoid disallowed credits or refund delays.
To confirm eligibility for the EIC, the IRS applies four tests.
If the IRS questions your dependent claim, you’ll need:
For Head of Household status, provide:
Always send copies, not originals, and review your CP75 notice to match the required forms exactly.
Receiving a CP75 notice may feel overwhelming, but a clear and timely response can help you retain the tax credits you’re entitled to. The IRS includes instructions and forms with your notice to guide you. Follow these six steps carefully to ensure your response meets all IRS requirements and deadlines.
Begin by reading your CP75 notice from start to finish. The notice explains which credits are under review and lists the forms you must complete. It also specifies the deadline for your response, usually 30 days from the notice date. Mark this deadline clearly, as missing it could result in the denial of your credits.
Next, collect the documents the IRS is requesting. These will be listed in the notice and on the accompanying verification forms, such as Form 886-H-EIC, Form 886-H-DEP, or Form 14824. Be sure all documents:
For example, if verifying a qualifying child for the Earned Income Credit, provide school or medical records showing the child lived with you for more than half the year.
Included with your CP75 notice is a response form. Use this form to indicate which documents you’re submitting and which credit(s) they relate to. Check all appropriate boxes and ensure your information is accurate. Sign and date the form before adding it to your response package.
You can send your response in one of three ways. Choose the method that ensures the IRS receives your documentation before the deadline:
Regardless of the method, include:
After you submit your response, the IRS typically takes about 30 days to review your documents. In most cases, no further action is required unless the IRS contacts you. If you want to follow up, you can:
Maintain a full copy of your response for your records. This includes all documents, the completed forms, and fax or mail confirmations. Keeping organized records will help if you need to appeal a denial or reference the audit in future tax years. Responding correctly to a CP75 notice helps prevent refund delays and ensures your credits remain intact. In the next section, we’ll explain what happens if you don’t respond and how that could affect your tax situation.
If you don’t respond to a CP75 notice by the deadline—typically 30 days from the date on the letter—the IRS will proceed without the requested documentation. This means the IRS will assume you are ineligible for the credits in question and disallow them. Credits commonly affected include the Earned Income Credit (EIC), Additional Child Tax Credit (ACTC), and the Premium Tax Credit (PTC). As a result, any portion of your refund related to those credits will be withheld or reduced.
When the IRS disallows credits, you will receive an examination report outlining the proposed changes to your tax return. The report will show how your refund was adjusted or, if applicable, what amount you now owe. This new balance may include taxes, penalties, and interest, primarily if your rebate is eliminated entirely. Failing to respond also means you lose the opportunity to submit documentation that might have resolved the issue. The IRS makes decisions based on the information it has—if nothing is provided, your credits will be denied by default.
If you cannot respond by the deadline, it is essential to contact the IRS immediately using the phone number on your notice. In many cases, the IRS will grant a short extension if you explain your situation. Taking action, even if delayed, is far better than doing nothing and risking financial consequences that may take months or years to fix.
After submitting your response to a CP75 notice, the IRS will review your documentation. This process generally takes around 30 days, though it may take longer depending on case volume and complexity. During this time, the IRS evaluates whether the documents you provided adequately support the tax credits under review. You do not need further action unless the IRS contacts you for clarification or additional documents.
If your documentation is accepted, the IRS will approve the credits and issue a notice confirming the audit is closed. Your refund, or the portion held, will typically be released within eight weeks of the closure notice—unless other debts offset it. If your documentation is incomplete or insufficient, the IRS may disallow some or all of the credits. You will receive an examination report outlining the proposed changes to your tax return. This may result in a reduced refund or an amount owed, depending on how the credits are adjusted.
You can respond or appeal if you disagree with the IRS’s findings. Instructions will be included in the report, and you can request a conference or submit additional documentation for reconsideration. Knowing what to expect after submission helps you stay informed and prepared. A successful outcome depends on the completeness and accuracy of your documents, but even if your credits are denied, you still have options to appeal or correct the issue.
If the IRS denies your Earned Income Credit (EIC), it’s important not to panic. You still have options to address the decision and, in some cases, reverse it. The key is understanding why the credit was disallowed and responding appropriately within the timeframe listed on your IRS notice.
Start by reviewing the IRS examination report. This document outlines the reason for the denial. Common causes include:
Understanding the exact issue will help you decide what steps to take next.
If you agree with the IRS, you can accept the changes by signing the examination report. However, if you disagree and have additional documentation, you may submit it before the deadline. The IRS may reconsider its decision based on this new information. If your claim is still denied, you have the right to appeal. The IRS notice will include instructions for submitting a formal appeal through the Office of Appeals.
If your EIC was denied, the IRS may require you to file Form 8862 with your next tax return before allowing the credit again. This form is necessary unless the IRS sends you a CP74 notice confirming recertification or you meet specific exceptions.
If the IRS determines that you improperly claimed the EIC intentionally or recklessly, it may impose a two-year ban. In cases involving fraud, the ban may extend to ten years. A penalty of 20% of the disallowed credit may also apply. If your EIC is denied, acting quickly and understanding your rights can help protect your refund and avoid further complications. Clear documentation and timely responses are your best tools for resolving the issue.
Special Situations and Exceptions
Some taxpayers who receive a CP75 notice may face unique circumstances that affect how they respond. Special rules may apply if you're separated from your spouse, dealing with identity theft, or need more time to gather documents. Understanding these exceptions can help you avoid mistakes and protect your eligibility for eCredit.
If you are married but have lived apart from your spouse for the last six months of the tax year, you may still qualify for the Earned Income Credit. To do so, you must:
You must also prove that you and your spouse maintained separate residences, often using utility bills, school records, or lease agreements.
If you received a CP75 notice for a return you didn’t file, it may be due to identity theft. Contact the IRS immediately using the phone number on the notice. You may also need to submit Form 14039, Identity Theft Affidavit, and follow instructions at irs.gov/identity-theft.
You may call the IRS to request an extension if you can’t gather all the required documents before the deadline. Many requests are granted if made before the due date. Special situations require timely attention. Act quickly and document your circumstances to protect your credits.
Receiving a CP75 notice can feel stressful, but you are not alone. Trusted resources are available to help you respond appropriately and on time. Whether you need official guidance or independent assistance, support is within reach.
You can contact the IRS using the toll-free number on your CP75 notice. Representatives can explain the notice, confirm deadlines, and help you understand the required documents. Have your notice and tax return nearby when you call to make the process smoother. Direct communication can help prevent delays or mistakes.
These clinics offer free or low-cost support for taxpayers who meet income eligibility rules. LITCs assist with audits, appeals, and submitting IRS documentation. You can locate a clinic near you through IRS Publication 4134 or the Taxpayer Advocate Service website. Professional help can make a big difference if you're unsure how to proceed.
Intense preparation is key to avoiding future CP75 notices. Maintaining complete records, verifying eligibility for tax credits, and filing carefully reduces the chance of audit-related delays or denials.
Keep all tax-related documents in one place throughout the year. Save school records, medical statements, lease agreements, or any documents that prove your child’s residency. Retain official papers like birth certificates or court orders that show your relationship to the child. Proper documentation can speed up your response if the IRS requests proof.
Before claiming credits like the Earned Income Credit (EIC), review the IRS rules for the current year. Use tools like the IRS EITC Assistant and Publication 596 to confirm your requirements. Double-check that everyone listed on your return has a valid Social Security Number issued for work. Filing ineligible claims, even by mistake, can lead to audits and future penalties.
E-filing with reputable tax software or a qualified tax preparer helps catch simple errors. These platforms often highlight missing forms or conflicting entries before submission. Filing electronically also speeds up processing and reduces mailing issues.
If you receive any IRS correspondence, read it immediately and take action before the deadline. Early communication prevents minor problems from becoming larger ones. Being proactive helps protect your refund and avoid disruptions.
Frequently Asked Questions
The IRS CP75 notice is a letter indicating your return is under audit due to refundable credits like the Earned Income Credit (EITC). You received it because the IRS triggered an audit, often based on third-party data or inconsistencies with other returns. It’s not an accusation of fraud. Instead, it’s a note requesting supporting documentation to verify the credits you claimed during tax preparation.
The IRS allows 30 days to respond to a CP75 notice, as indicated on the letter you received. You can call the IRS to request an extension if you need more time. The letter may contain a tracking ID for security monitoring. Responding within the deadline is essential to avoid denial of credits or further action. You may appoint an authorized representative to handle the response if needed.
Suppose you respond within the required timeframe and include complete documentation. In that case, the IRS will review your case and, if everything is validated, release the portion of your held refund. Filing electronically and submitting documents through secure digital portals reduces delays and ensures your tax preparation is complete and accurate.
Hiring a tax professional is not required but may be helpful, especially if you're unfamiliar with audits or documentation. A professional can help organize and present your case clearly and act as your authorized representative. They may also assist with explaining financial ties to business partners or clarifying complex situations. Some people seek help from Low Income Taxpayer Clinics or consult an IRS manager if they experience communication issues.
If the IRS disallows your EITC or other credits, it will issue a formal audit report explaining why. This often occurs due to insufficient documentation or conflicting claims. If you disagree, you can appeal disagreements through the IRS Office of Appeals by submitting additional evidence or requesting a conference. Someone acting on your behalf, such as a tax professional, can help you through this process.
No, a CP75 audit does not directly affect your credit score. However, if your refund is reduced and you owe additional tax and fail to pay, the IRS may eventually file a federal tax lien. This could impact your credit. Also, if you are involved in a business and share financial responsibility with business partners, the audit outcome might indirectly affect other filings or obligations.
Yes, but if your Earned Income Credit was denied, you’ll likely need to file Form 8862 before you can claim the credit again. If the denial involved reckless or fraudulent behavior, the IRS may impose a ban for two or even ten years. Always double-check eligibility before claiming credits and document everything properly during your next round of tax preparation to avoid future issues.
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