- What it means
- The IRS found a difference between wages reported on W-2s and on Forms 941 and is asking you to explain or correct it.
- Respond within
- 30 days from the date on the notice
- What to send
- An explanation with corrected forms if needed.
- Write it
- Document cover letter
- When to get help
- Same as CP240.
What the letter says
The earlier-stage version of the CP240: the IRS has found the mismatch and wants your reconciliation before it proposes an assessment.
What to do
Same reconciliation: find which side is wrong, correct it, and explain in a letter.
What to gather
- The notice
- Forms 941 and W-2/W-3 for the year
- Payroll records
Write back
The Document cover letter tool builds the response in the order the IRS reads it. Fill it in, review it, print it, and send it with copies of the documents above and the notice stub on top.
Before you send anything
This is general information, not tax advice. Situations differ. Check with your tax advisor before you send anything. Nothing on this page creates a client relationship.