Understanding your CP156 notice

What this notice is about

We received your Form 990-T, Exempt Organization Business Income Tax Return, including

• Form 8941, Credit for Small Employer Health Insurance Premiums, for the cited tax period claiming the Credit for Small Employer Health Insurance Premiums, or
• Form 3800, General Business Credit, claiming the Elective Payment Election (EPE).

The CP156 Notice explains adjustments IRS must make to the Credit for Small Employer Health Insurance Premiums and EPE amount shown on your return.

What you need to do

No action is required

Frequently Asked Questions

What is sequestration and how does it affect my Credit for Small Employer Health Insurance Premiums

See Small Business Health Care Tax Credit Questions and Answers: Calculating the Credit for more information.

How does sequestration apply to an Elective Payment Election?

See FY 2024 effect of sequestration on Inflation Reduction Act of 2022 (IRA) Elective Payment Elections (EPE) for more information.

Can I appeal the decision to reduce my refund?

Reduction in the amount of your refund is required of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended and can't be appealed.