What Is IRS Notice CP5 (CP05)?
IRS Notice CP5, sometimes labeled CP05, is sent when the IRS has received your tax return but needs additional time to review it. The notice informs you that processing is delayed while the IRS verifies information reported on your return.
CP5 and CP05 are the same notice. The difference in numbering is only a formatting variation used by the IRS.
What Does a CP5 (CP05) Notice Mean?
A CP5 notice means the IRS has temporarily paused processing of your return to review certain items, such as income, withholding, credits, or third-party reporting.
It does not mean:
- You are being audited
- You did something wrong
- You owe additional tax
It means the IRS needs more time before issuing a refund or finalizing the return.
Why Did You Receive a CP5 (CP05) Notice?
You may receive a CP5 notice if:
- The IRS needs to verify income or withholding information
- Third-party data (W-2s, 1099s) does not yet match IRS records
- Credits claimed require additional review
- The return was selected for routine processing checks
These reviews are common during high-volume filing seasons.
Do You Need to Take Action After Receiving CP5?
In most cases, no immediate action is required.
The notice usually instructs you to:
- Wait while the IRS completes its review
- Avoid submitting duplicate returns
- Avoid calling unless the review period passes
Respond only if the IRS later requests documentation.
How Long Does a CP5 Review Take?
CP5 notices typically state a review period of up to 60 days, though reviews may take longer depending on IRS workload and the complexity of the return.
If additional time is needed, the IRS may send a follow-up notice.
What Happens If You Ignore a CP5 Notice?
Ignoring CP5 does not create penalties or enforcement action.
However:
- Your refund will remain delayed
- Processing will not resume until review is complete
- You may receive a follow-up notice if information is required
Can CP5 Turn Into an Audit or Adjustment?
CP5 itself is not an audit notice.
Possible outcomes after review include:
- The return is processed as filed
- The IRS requests additional documentation
- The IRS issues a correction notice (CP11 or CP12)
Most CP5 cases resolve without further action.
Which IRS Forms Are Related to CP5?
Forms commonly involved in CP5 reviews include:
- Form W-2 / 1099 – Income verification
- Form 1040 – Individual tax return
- Schedule C or Schedule E – Business or rental income
- Form 8862 – Credits after prior disallowance (in some cases)
What IRS Notices Are Related to CP5?
Notices commonly related to CP5 include:
- CP12 – Corrected return with a refund
- CP11 – Corrected return with a balance due
- CP63 – Identity verification request
- Letter 4464C – Refund review notice
When Should You Seek Help With a CP5 Notice?
You may want assistance if:
- The review period has passed with no update
- You receive a request for documentation
- Your refund is urgently needed
- Multiple years or credits are involved
Summary
IRS Notice CP5 (CP05) means your tax return is under review and processing is temporarily delayed. It is not an audit and usually does not require action unless the IRS later requests information. Most CP5 reviews resolve once verification is complete.
Scope Note
This page explains IRS Notice CP5 (CP05) and general response information. It does not provide legal or tax advice.