IRS CP15B
Penalty for Late or Missing Information Returns
You filed 1099s or W-2s late — a per-form penalty has been assessed.
Deadline
60 days to respond or request abatement
Request abatement within 60 days. Small businesses with gross receipts under $5 million qualify for lower penalty rates.
Respond promptly to protect your options and avoid escalation.
What IRS CP15B Means
CP15B assesses penalties under IRC §6721 and §6722 for late, incorrect, or missing information returns — most commonly 1099-NEC, 1099-MISC, 1099-INT, 1099-DIV, or W-2 forms. These penalties apply both to the payer copies filed with the IRS and the recipient copies provided to payees.
The penalty is assessed per form and escalates based on how late the form was filed: $60 per form if filed within 30 days, $120 per form if filed after 30 days but before August 1, and $310 per form if filed after August 1 or not filed at all (2024 rates). Annual maximums apply by business size.
Small businesses (gross receipts under $5 million) have lower annual penalty caps. Additionally, CP15B penalties for 1099s and W-2s are among the most commonly abated penalties — de minimis error rules, reasonable cause, and first-time abatement can all apply.
What the IRS Can Do If You Don't Respond
- Assess per-form penalties for each late or missing information return
- Assess separate penalties for IRS copies and recipient copies
- Escalate to collection if penalties are not paid or abated
- Refer cases with patterns of non-compliance for further investigation
What You Should Do Right Now
- 1
Identify which forms triggered the penalty and confirm they were filed late or not at all
- 2
If forms were timely filed, respond with proof of filing (e-file confirmation or postmark)
- 3
Assess whether de minimis error exceptions apply (under $250 per form with corrections)
- 4
Request first-time abatement if this is your first information return penalty
- 5
File any missing information returns immediately — even late filing reduces future penalty exposure
Resolution Options Available to You
Frequently Asked Questions About IRS CP15B
What information returns trigger CP15B?
Most commonly 1099-NEC (contractor payments), 1099-MISC, 1099-INT (interest), 1099-DIV (dividends), 1099-B (brokerage), W-2, and W-2G. Any required information return filed late, incorrectly, or not at all can trigger penalties.
When are 1099-NEC forms due?
1099-NEC forms must be filed with the IRS and furnished to recipients by January 31. 1099-MISC (with non-box-1 amounts) is due February 28 (paper) or March 31 (electronic). Late filing after these dates triggers CP15B penalties.
What is the de minimis error rule?
If each incorrect dollar amount on a 1099 is under $100 (or $25 for withholding amounts), and you correct the error by August 1, the IRS may waive the penalty. This rule applies per form, not in aggregate.
Do I owe CP15B penalties for both the IRS copy and the recipient copy?
Yes — penalties under §6721 apply to IRS copies and §6722 applies to recipient copies. Each can be assessed separately, potentially doubling your exposure for each missing or late form.
Professional References
IRC: IRC §6721 — Failure to File Correct Information Returns; IRC §6722 — Failure to Furnish Correct Payee Statements
IRM: IRM 20.1.7 — Information Return Penalties
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