IRS Notice CP163: Reminder that you still owe a balance
IRS Notice CP163 is a balance due letter from the IRS. The IRS says you still owe tax, penalty and interest. The notice shows how it figured the amount. Letters like this deal with an unpaid amount on an IRS account.
What this letter usually means
The IRS says you still owe tax, penalty and interest. The notice shows how it figured the amount. The amount on the letter is what the IRS shows today. Interest and penalties can change it, so the letter and your IRS Online Account are the places to confirm it.
Category: You owe a balance
What people usually do first
Pay by the due date on the notice, or ask for a payment agreement if you cannot pay it all.
What to have ready
- The CP163 notice
- Your tax return
- Records of your payments, such as canceled checks
- An amended return if you filed one
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 CP163.
Common questions about CP163
What is IRS notice CP163?
The IRS says you still owe tax, penalty and interest. The notice shows how it figured the amount.
How long do I have to respond to a CP163 notice?
The date to respond or pay by, if there is one, is printed on your letter. Check it, and read the IRS page for CP163 for more.
Is a CP163 notice a scam?
A real CP163 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 CP163 notice?
The CP163 notice, Your tax return, Records of your payments, such as canceled checks, An amended return if you filed one.
Scan your letter in the OweRight iPhone app
The OweRight app can tell you what a CP163 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 CP215: Civil penalty charged by the IRS
- IRS Notice CP260: IRS removed a payment and you owe more
- IRS Notice CP297: Final notice: IRS will seize assets
- IRS Notice CP297A: IRS has taken your assets for unpaid taxes
- IRS Notice CP298: IRS says it will take some Social Security
- IRS Letter LT39: Reminder about unpaid balance and missing returns