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Notice code 638 (Default) — We have disallowed the amount claimed as First- Time Homebuyer Credit on page 2 of your tax return. …
What this IRS notice code means, and what to check before you reply.
What to do next
Start with these steps before you reply.
638
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
We have disallowed the amount claimed as First- Time Homebuyer Credit on page 2 of your tax return. to be eligible to claim the credit the property purchased must be purchased from an individual other than a person related to you or your spouse if filing married filing joint.
What it usually means
638 is in our IR Manual catalog. Official wording is dense — we translate it for business owners and individuals and map realistic next steps.
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