IRS Letter 105C: IRS denied your employee retention credit claim
IRS Letter 105C is a return adjustment letter from the IRS. The IRS denied your Employee Retention Credit claim and says why. The letter also explains how to appeal or sue. It explains a change the IRS made while processing your return.
What this letter usually means
The IRS denied your Employee Retention Credit claim and says why. The letter also explains how to appeal or sue. Compare the IRS figures with your copy of the return, line by line. The letter explains how to respond if you disagree.
Category: The IRS changed your return
What people usually do first
If you disagree, respond with documents that support your claim.
What to have ready
- The 105-C letter
- Documents that address the reason for the denial
- Gross receipts records or a government order
- Your ERC calculation worksheets
- Form 2848 if someone will represent you
What may come next
This letter does not point to a specific follow-up letter. Any later step will be described in mail from the IRS.
Read the IRS page
The IRS letter itself is the final word on what it means for you. Read the IRS page for 105C.
Common questions about 105C
What is IRS notice 105C?
The IRS denied your Employee Retention Credit claim and says why. The letter also explains how to appeal or sue. It is also called 105-C.
How long do I have to respond to a 105C notice?
The date that matters is printed on your letter. Check it now, because this type of letter has a deadline that matters. The IRS page for 105C explains more.
Is a 105C notice a scam?
A real 105C comes by mail and should match your own records. You can also sign in to your IRS Online Account on irs.gov to see your account directly.
What should I have ready for a 105C notice?
The 105-C letter, Documents that address the reason for the denial, Gross receipts records or a government order, Your ERC calculation worksheets, Form 2848 if someone will represent you.
Scan your letter in the OweRight iPhone app
The OweRight app can tell you what a 105C letter is and points you to the IRS page for it.
OweRight is not the IRS and does not give tax or legal advice.
Related notices
- IRS Notice CP87C: Someone else claimed your dependent
- IRS Notice CP145: IRS could not apply your full credit
- IRS Notice CP147: IRS moved more credit to next year
- IRS Notice CP240: IRS changed your payroll tax return
- IRS Notice CP250A: You must now file payroll returns each quarter
- IRS Notice CP250B: You keep filing Form 944 this year