IRS Notice CP250A: You must now file payroll returns each quarter
IRS Notice CP250A is a return adjustment letter from the IRS. You can no longer file the yearly Form 944 because your employment tax went over $1,000. You must file Form 941 each quarter instead. It explains a change the IRS made while processing your return.
What this letter usually means
You can no longer file the yearly Form 944 because your employment tax went over $1,000. You must file Form 941 each quarter instead. 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
File Form 941 each quarter, starting with the first quarter of the year.
What to have ready
- The CP250A notice
- Your employment tax records
- The Form 941 and Form 944 instructions
- The phone number on the notice
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 CP250A.
Common questions about CP250A
What is IRS notice CP250A?
You can no longer file the yearly Form 944 because your employment tax went over $1,000. You must file Form 941 each quarter instead.
How long do I have to respond to a CP250A 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 CP250A for more.
Is a CP250A notice a scam?
A real CP250A 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 CP250A notice?
The CP250A notice, Your employment tax records, The Form 941 and Form 944 instructions, The phone number on the notice.
Scan your letter in the OweRight iPhone app
The OweRight app can tell you what a CP250A 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 CP45: Overpayment could not go to next year
- IRS Notice CP51C: IRS figured your tax, balance zero
- IRS Notice CP52: IRS corrected your self-employment tax
- IRS Notice CP87B: Someone else also claimed you
- IRS Notice CP87C: Someone else claimed your dependent
- IRS Notice CP145: IRS could not apply your full credit