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IRS Notice CP128 – The IRS Applied Your Overpayment and You Still Have a Balance Due

1 min read


1 min read


A refund was applied to your unpaid tax balance for another year. A balance still remains.

View notice CP128 image

Type of Notice: Unpaid balance

Most common tax problem area: IRS bill for unpaid taxes

Other tax problem areas: IRS penalties

Why you received IRS Notice CP128

  1. You filed a tax return with a balance due, which remains unpaid.
  2. You filed a return for another tax year with a refund due.
  3. The IRS sent CP128 to notify you that the refund was applied to a prior year’s unpaid balance due. This notice also informs you that you still owe a balance due on a return from a prior year.

Your options to address IRS Notice CP128

  1. Make arrangements to pay
  2. Dispute the penalties
  3. Dispute the taxes you owe

Notice deadline: 21 days

If you miss the deadline: You will owe additional penalties and interest.

Want more help?

See your local tax pro for a free consultation.

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