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CP152A notice: what it means and what to do
Got an IRS CP152A notice? Here is what it means, your deadline, what to check before you answer, and how to reply. Check your own letter free: it stays on your phone.
Check my CP152A notice freeWhat the IRS says this notice is about
We received your Form 8038-CP, Return for Credit Payments to Issuers of Qualified Bonds. This notice explains why we reduced the credit payment you requested.
What you need to do
You don't need to take any action.
Your deadline
Answer by the date printed on your notice. If there is no date, answer as soon as you can, and call the number on the notice if you need more time.
What to check before you answer
Is this letter really from the IRS?
The IRS writes first by mail. A real letter shows a notice or letter number, your name and part of your tax ID number. The IRS does not ask for payment by gift card, crypto or wire transfer. If in doubt, sign in to your IRS online account, where many notices are listed.
You may want to
Keep this notice for your records.
Common questions
Will I receive a notice for each Form 8038-CP I filed? (updated Mar. 2, 2026)
Yes. We'll send a separate notice for each form.
Why was my credit payment reduced? (updated Mar. 2, 2026)
Under the Balanced Budget and Emergency Deficit Control Act of 1985, as amended, refund payments issued to and refund offset transactions for certain state and local government filers of Form 8038-CP are subject to sequestration.
This means that any refund payments and refund offset transactions processed between October 1, 2020, and September 30, 2030, will be reduced by 5.7%. The reduction applies no matter when the IRS received your form.
Can I appeal the decision to reduce my refund? (updated Mar. 2, 2026)
No. The law requires this reduction, and it cannot be appealed.
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