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IRS CP71 Notice – Annual Reminder of Unpaid Tax Balance

What Is IRS Notice CP71?

IRS Notice CP71 is an annual reminder notice sent when you have an unpaid federal tax balance that remains unresolved. It summarizes the amount you owe, including penalties and interest, and reminds you that the debt is still active.

CP71 does not initiate new collection action by itself. It is issued to keep the balance visible on your account.


What Does a CP71 Notice Mean?

A CP71 notice means:

  • You still owe federal taxes from a prior year
  • The balance has not been resolved or paid in full
  • Penalties and interest continue to accrue
  • The IRS is keeping the account active and documented

This notice is informational but confirms the debt remains collectible.


Why Did You Receive a CP71 Notice?

You may receive a CP71 notice if:

  • You have an unresolved tax balance
  • You are not currently in a payment arrangement, or
  • The IRS is sending an annual account reminder

CP71 is commonly sent once per year for long-standing balances.


Is CP71 a Bill or a Levy Notice?

No. CP71 is not a levy notice and not a final enforcement warning.

However, it confirms that:

  • The IRS has not closed the account
  • The balance remains legally due
  • Collection actions may still occur in the future if no resolution exists

What Is the Deadline to Respond to a CP71 Notice?

CP71 typically does not include a strict response deadline.

That said, ignoring the underlying balance can lead to:

  • Additional collection notices
  • Enforcement actions at a later stage
  • Continued growth of penalties and interest

What Happens If You Ignore a CP71 Notice?

Ignoring CP71 itself does not immediately escalate enforcement. However:

  • The tax debt remains unresolved
  • Interest and penalties continue to increase
  • The IRS may issue future collection notices
  • Refunds may be offset if applicable

CP71 confirms the issue is still open.


What Are Your Options After Receiving a CP71?

Depending on your situation, you may consider:

  • Paying the balance in full
  • Setting up or reviewing a payment plan
  • Exploring relief options if payment is not possible
  • Reviewing the balance for accuracy

Addressing the debt proactively can prevent future escalation.


Which IRS Forms Are Related to a CP71 Notice?

Forms commonly associated with CP71 situations include:

  • Form 9465 – Installment Agreement Request
  • Form 433-F – Financial Information Statement
  • Form 843 – Request penalty or interest abatement

What IRS Notices Are Related to CP71?

Notices commonly related to CP71 include:

  • CP14 – Initial balance due notice
  • CP501 / CP503 – Balance due reminders
  • CP504 – Notice of Intent to Levy (state refund)
  • LT11 / CP90 – Final Notice of Intent to Levy

CP71 may appear between or after other notices in the collection lifecycle.


When Should You Seek Help With a CP71 Notice?

You may need assistance if:

  • The balance has existed for multiple years
  • Penalties and interest make repayment difficult
  • You are unsure which resolution option applies
  • You want to prevent future collection action

Summary

IRS Notice CP71 is an annual reminder that an unpaid federal tax balance remains unresolved. While it does not authorize enforcement action by itself, it confirms the debt is still active and continues to accrue penalties and interest.


Scope Note

This page explains IRS Notice CP71 and general response options. It does not provide legal or tax advice.

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