Credit Discrepancy - Excess Credits

Excess credits occur when more credits are posted to the module than the amount claimed by the taxpayer. The credit may belong on another module, or the taxpayer may have forgotten a payment was made.

Examples of notices reviewed are CP 111, CP 112, CP 117, CP 134R and CP 834R. This list is not all inclusive.

Use the NRPS selection keys as a guideline when reviewing the account and notice.

Identify the excess credit amount by subtracting the total payments claimed by the taxpayer from the actual amount posted. Since the taxpayer may be requesting a refund or credit elect, use the credit amount the taxpayer claimed on the return to decide the discrepancy. Do not use the tax amount.