IRS Notice CP 79A - Earned Income Credit Two-Year Ban

The CP 79A is sent by the IRS to notify the taxpayer that they are banned from claiming the Earned Income Tax Credit and will need to complete another Form 8862 to claim the Earned Income Tax Credit on a future tax return. This is generally caused by the taxpayer being disallowed or receiving a reduced Earned Income Credit.

Form 8862 can be completed using TaxAct®. The IRS may also contact the taxpayer after receiving the Form 8862 to request any documentation it requires to issue the Earned Income Credit.

Sections of the Notice:

  • Header Section
    This area contains the Notice Number, the notice date, your Social Security Number, and the IRS contact number.
  • Explanation Section
    This section explains that the IRS has imposed a two year ban for claiming the Earned Income Tax Credit. In order to claim the credit on future tax returns (after the ban), you are required to complete a Form 8862 and possibly provide other documentation to establish the right to claim the credit for a qualifying child or children.
    The notice explains that the ban was placed for the reckless or intentional disregard for the rules and regulations for the Earned Income Tax Credit.
  • Response Section
    You may call or write to the IRS at the number or address listed in the header section to receive a further explanation of this action.

 Sample CP 79A: