What this notice is about We charged you a Trust Fund Recovery Penalty (TFRP) for not paying employment or excise taxes. What you need to do Read your notice carefully. It will explain your amount due, due date, and payment options. Make your payment by the due date. Go to our payments page for more about your payment options. Frequently asked questions Why was I assessed this penalty? We charged you the TFRP for willfully failing to collect, account for, or pay employment or excise taxes. Find additional information for Employment Taxes and the Trust Fund Recovery Penalty (TFRP). What happens if I can't pay the full amount I owe now? You can apply online for a payment plan (including installment agreements). What happens if I don’t respond to this notice? Interest will continue to accrue until the balance is paid. Am I charged interest on the money I owe? Not if you pay the full amount you owe by the due date on the payment coupon. However, interest accrues on the unpaid amount after that date. What should I do if I disagree with the notice? If you disagree with the penalty charge you may file a suit for refund. To do so, you must: pay the withheld tax for one employee for each quarter of liability you disagree with, and file a claim for refund on Form 843, Claim for Refund and Request for Abatement PDF, for the amount paid. If you want to suspend collection of the penalty while the suit is pending, you must post a bond with the IRS for one and a half times the balance. Helpful information Publication 15 (Circular E), Employer's Tax Guide PDF Publication 594, The IRS Collection Process PDF Notice 746, Information About Your Notice, Penalty and Interest PDF Form 9465, Installment Agreement Request PDF Reference Tools Publication 1, Your Rights as a Taxpayer Publication 17, Your Federal Income Tax Full list of tax forms and instructions Need Help? You can authorize someone to contact the IRS on your behalf. See if you qualify for help from a Low Income Taxpayer Clinic. If you can’t find what you need online, call the IRS number at the top of your notice or letter.