Understanding Your CP75 Notice
We’re auditing your tax return and we need documentation to verify the Earned Income Credit (EIC) that you claimed. The Earned Income Credit and/or the Additional Child Tax Credit (ACTC) portion(s) of your refund is being held pending the results of the audit.
What you need to do
- Read the notice and the enclosed forms carefully. They explain the information you must send to us.
- Provide copies of the documentation we request to verify the items that we are auditing.
- Complete the response form by indicating which items your supporting documentation addresses and return the form with the documents you are submitting.
You may want to
- Review this notice with your tax preparer.
- Call us for assistance at the toll-free telephone number listed in the top right corner of your notice.
- Review the rules for claiming the Earned Income Credit and make sure that your child meets the four tests: the Relationship, Age, Residency and Joint Return tests, to qualify for the credit. Read more about the qualifying child rules.
- Find out if you can claim the Earned Income credit if you do not have a qualifying child. Find the rules for those without a qualifying child here.
Answers to Common Questions
Why was my return selected for audit?
While most returns are accepted as filed, some are selected for examination. The IRS examines (or audits) some federal tax returns to determine if income, expenses, and credits are being reported accurately. The IRS selects returns for examination using various methods which include random sampling, computerized screening, and comparison of information received by the IRS such as Forms W-2 and 1099. Having your return selected for examination does not suggest that you made an error or were dishonest.
Can I claim the Earned Income Credit for my fiancé’s child?
No. You must be married to the child’s parent during the tax year in question to receive the credit.
What do I need to send?
Please refer to the Form 886-H we sent with your notice. There is a separate form for each item being audited that explains what supporting documentation to send.
What if I can’t provide the requested documentation?
We will disallow the items being audited and send you an examination report that shows the proposed changes to your tax return.
What if I did not file a tax return claiming the items you are questioning and someone else is using my name and social security number?
Contact us at the number listed on the top right corner of your notice. You can also refer to the IRS Identity Theft resource page for more information.
Can I file my tax return while I am being audited?
Yes, you should continue to file all required tax returns before the due date to avoid additional penalties and interest.
Tips for next year
Avoid errors that can delay your refund or result in the IRS denying your EIC claim. Find out the most common errors in claiming EITC here.