Notice of Individual Income Tax Adjustment
This notice is sent because your refund was reduced resulting in either a decreased refund amount or a balance due. The notice ID is between N0001301 and N0001305.
Beginning August 4, 2021 the NCDOR will use an improved and modernized template for the Individual Income Tax Adjustment Notice.
About Your Notice
Why did I get this notice?
What should I do?
Where can I get more information?
Common Questions
How was my return adjusted?
What if I’ve already paid the debt?
Why did I get this notice?
You received this notice because your refund was reduced. There are two common reasons your refund may be reduced:
- You owe a debt to us, another state agency, a local agency, or the IRS.
- We are required by law to deduct that debt from your state tax refund.
- We adjusted your return, resulting in a lower refund or a balance due.
- We may adjust your return because of a math error, a credit claimed that does not match our records, or other errors.
Review the Understanding Your Notice video playlist to learn more about these adjustments:
What should I do?
If the final line of the table is Net Refund, no further action is required. If your refund is above the threshold stated on your notice, you will receive a check or direct deposit.
If the final line of the table is Total Balance Due, pay the balance due within the number of days specified on your notice.
Where can I get more information?
Review the information on your notice, or call 1-877-252-3252 (toll-free) if you have additional questions.
How was my return adjusted?
The table in the middle of your notice breaks down our adjustment using the lines from your return. Compare these amounts to the amounts you listed on your state income tax return to see how it was adjusted.
The Overpayment line may include payments other than the refund you indicated on your return. This line could include penalties and interest, the collection assistance fee, or garnishment payments. Most penalties and interest will be listed in the Explanation section of your notice.
What if I’ve already paid the debt?
If the debt listed in the Explanation section is a debt that you already paid to another agency, please contact that agency for more information. We can only assist with debts owed to the NC Department of Revenue.