Back to All IRS Notices
MEDIUM PRIORITY

IRS Notice CP12: Tax Return Corrected (Refund Changed)

The IRS has made changes to your tax return that affected your refund amount. Here's what happened and what you need to do.

What Does CP12 Mean?

The CP12 notice is sent when the IRS has corrected your tax return and the changes resulted in a different refund amount than you originally claimed. This could mean:

  • Your refund amount increased (you'll receive more money)
  • Your refund amount decreased (you'll receive less money)
  • Your refund was eliminated entirely (you may now owe money)
  • Mathematical errors were corrected on your return

Common Reasons for CP12 Notices

Credits and Deductions

  • • Earned Income Tax Credit adjustments
  • • Child Tax Credit corrections
  • • Education credit modifications
  • • Itemized deduction changes
  • • Standard deduction corrections

Income and Math Errors

  • • W-2 or 1099 discrepancies
  • • Mathematical calculation errors
  • • Wrong tax table usage
  • • Filing status corrections
  • • Dependency exemption issues

How to Respond to CP12

If You Agree with the Changes

  • • No action required from you
  • • Keep the notice for your records
  • • Wait for your adjusted refund (if applicable)
  • • Update your records with the correct amounts
  • • Use corrected figures for future reference

If You Disagree with the Changes

  • • Write a letter explaining your disagreement
  • • Include copies of supporting documents
  • • Send to the address shown on your notice
  • • Respond within 60 days of the notice date
  • • Consider professional tax help

What to Expect Next

Timeline and Next Steps

  • • If changes increase your refund: You'll receive the additional amount separately
  • • If changes decrease your refund: No additional payment is typically required
  • • If you now owe money: You'll receive a separate bill (likely CP14)
  • • Processing time: Allow 4-6 weeks for refund adjustments

Questions About Your CP12 Notice?

Understanding IRS corrections can be complex. Our tax professionals can review your notice, verify the accuracy of the changes, and help you respond appropriately.

We can help you:

Review IRS calculations for accuracy
Determine if you should agree or disagree
Prepare proper documentation for disputes
Explain complex tax law changes
Prevent similar issues in future returns
Handle all IRS correspondence