Notice code 07

Notice code 07 — Failure to Pay - We charged a penalty because, according to our records, you didn’t pay your tax on …

What this IRS notice code means, and what to check before you reply.

What to do next

Start with these steps before you reply.

07

Read the notice carefully and note any deadline. Gather returns, notices, and payment records. Book a free strategy session before responding if the amount is large, unclear, or collection language appears.

What the IRS language says

Failure to Pay - We charged a penalty because, according to our records, you didn’t pay your tax on time. Initially the penalty is 1/2 of 1% of the unpaid tax for each month or part of a month you didn’t pay your tax. If we issue a Notice of Intent to Levy and you don’t pay the balance due within 10 days from the date of the notice, the penalty increases to 1% a month. The penalty can’t be more than 25% of the tax paid late.