The first move

Gather proof of relationship, residency, and support for each dependent before you respond. Those three things are what every credit question comes down to.

What these letters have in common

The earned income credit, child tax credit, additional child tax credit, and premium tax credit are the most-audited items on individual returns because they are refundable and because eligibility depends on facts the IRS cannot see. A CP75 series notice asks for proof. A CP87 series notice says someone else claimed the same dependent. A CP08, CP09, or CP27 goes the other way: the IRS thinks you qualify for a credit you did not claim.

Proof means documents from third parties: school records showing the child's address, medical records, a lease, a daycare statement, a benefits letter. Your own statement is not proof. For a duplicate dependent, the tiebreaker rules decide; the IRS letter explains them and usually the parent the child lived with longer wins.

If you claimed a credit you were not entitled to, the IRS can ban you from claiming it for two years (ten for fraud), so accuracy here matters more than on most lines.

What to gather

  • The notice, with each item questioned
  • Birth certificates and Social Security cards for each dependent
  • Proof of residency for more than half the year: school records, medical records, lease, benefits statements showing the address
  • Proof of support if asked: bank statements, receipts
  • For the premium tax credit: Form 1095-A
  • Custody agreement or court order if a dependent is disputed

How to write back

  1. Document cover letter: A one-page cover letter for documents you are sending in response to an IRS request: what the notice asked for, what is enclosed, and nothing else.

Notices in this family

NoticeWhat it means
CP08You may qualify for the additional child tax credit
CP09You may qualify for the earned income credit
CP27You may qualify for the earned income credit (no qualifying children)
CP74You are recertified to claim the earned income credit
CP75Documents requested to verify credits claimed
CP75ADocuments requested to verify EITC, dependents, or filing status
CP75CEITC ban; Form 8862 required to claim again
CP75DDocuments requested to verify income and withholding
CP76EITC allowed; refund being issued
CP79EITC disallowed; Form 8862 required next time
CP79AEITC disallowed with a two-year ban
CP79BEITC disallowed with a ten-year ban
CP85AVerify head of household filing status
CP85BVerify a credit claimed
CP85CVerify a credit claimed
CP87ADependent also claimed by another taxpayer
CP87BDependent filed a return claiming themselves
CP87CDependent claimed on another return
CP87DDependent claim conflict

When to get help

A CP75C (EITC ban) or a dependent dispute involving a custody order is worth professional help. The two-year ban is expensive.

Before you send anything

This is general information, not tax advice. Situations differ. Check with your tax advisor before you send anything. Nothing on this page creates a client relationship.

Sources

  1. IRS, Understanding your CP87A notice
  2. IRS, Understanding your CP79 notice