Federal payroll tax
A CP504 is the notice that comes before a levy.
Kreto reads IRS payroll tax notices, tracks the response date, checks Form 941 notices against the quarter's payroll and drafts a response for a person to approve.
Where IRS payroll notices go wrong.
The notice escalates.
CP503 becomes CP504. Each letter shortens the time before collection.
The figures need checking.
A notice is a claim about wages and deposits you already reported. The quarter's payroll is the evidence.
The response has to fit the notice.
Each notice type asks for something different.
From the notice to a drafted response.
- Bring the notice in.Upload it or forward the email. Kreto reads the notice type, the tax period, the amount and the response date.
- The date it really falls on.Kreto tracks the response date and shows it in the app and on your calendar.
- Form 941, against payroll.For Form 941 notices, Kreto sets Social Security and Medicare from your payroll against the notice and shows any difference in dollars. Form 940 and FUTA are not checked.
- A response, drafted.Kreto drafts the response with the evidence attached, on your letterhead. A person approves it before it leaves.
What Kreto tracks.
- IRS notice types, including CP503, CP504 and CP2000
- Response dates
- Expected Social Security and Medicare from payroll
- Form 941 discrepancies, in dollars
Example: a Form 941 notice.
A matching example, on purpose: it shows the check, not a win. The notice's Social Security wages are set against the quarter's payroll, and the item is marked done when they agree.
What is live today.
Every line works in the product now.
- Federal payroll taxLiveExpected Social Security and Medicare from the payroll on file, beside any Form 940, 941 or FTD penalty notice.
- Payroll uploadLiveUpload the payroll file, with a guide to download the report from your payroll provider.
- Payroll cross-checkLiveThe agency's figures set against the payroll on file, with the difference in dollars.Rate notices against the agency's 2026 schedule in 51 states, and Form 941 notices against your payroll in every state; every other notice is read and its deadline tracked.
Questions about IRS notices.
What is a CP504?
The IRS notice of intent to levy for an unpaid balance. Use the IRS notice decoder for what it means and what to do next.
How do I calculate a failure-to-deposit penalty?
The penalty and interest calculator gives an estimate.
Does Kreto check every IRS notice?
No. Form 941 notices are checked against payroll. Other IRS notices are read and their response dates tracked.
Does Kreto send the response to the IRS?
Kreto drafts it. A person approves it before it leaves.
SUI rates and claims IRS notice decoder Penalty and interest calculator Deadline checker Payroll tax and SUI in the product
Respond before the next letter.
Upload the notice and see what it is. In an account: free for 90 days, no card.