CP140 Notice: The IRS Sent Your Business Tax Account to a Private Collection Agency
By Forrest Baumhover, CFP®, EA · Last verified October 28, 2026
A CP140 tells a business that the IRS assigned its overdue tax account to a private collection agency. It is the business version of the CP40, and it comes before the agency reaches out.
If you got this letter
Got a CP140 in the Mail?
The IRS sent a CP140 because it assigned your business’s overdue tax account to a private collection agency. The law tells the IRS to use these agencies for certain overdue accounts.
The agency will send its own letter. When you talk with the agency, it asks for the first five numbers of the taxpayer authentication number on your CP140, then tells you the last five. That exchange shows the caller is real.
Pay the IRS, never the agency. The IRS page says to make a check payable to the United States Treasury.
What the CP140 notice says
The IRS page puts it plainly: “We assigned your overdue tax account to a private collection agency.” It tells the business to work with that agency to resolve the account, and it says the agency will set up a payment plan if the business cannot pay in full.
The Internal Revenue Manual (IRM), the IRS’s staff rulebook, pairs this notice with the CP40. It names the CP40 for an individual account and the CP140 for a business account, sent with Publication 4518, What You Can Expect When the IRS Assigns Your Account to a Private Collection Agency. Our CP40 page covers the individual version.
Why the IRS sent the account to an agency
The law requires it. IRC 6306(c)(1) tells the IRS to contract with private agencies to collect “all outstanding inactive tax receivables,” which means older balances the IRS is not actively working. The IRS page says the same thing in its own words.
The law also keeps some accounts away from agencies. Under IRC 6306(d), an account does not belong with an agency if it has a pending or active offer in compromise or installment agreement, if it is under examination, litigation, criminal investigation or levy, or if an appeal is under way. If one of those fits your business, the account does not belong with an agency. Our private debt collection checker walks through the full list.
How to tell the agency is real
Scammers pretend to be IRS collectors, so the IRS built in a check. The IRM says the IRS letter and the agency’s letter both carry the same unique 10-digit number, and you and the agency use that number to verify each other.
The IRS page explains the exchange. The agency asks for your name and address of record and for the first five numbers of the taxpayer authentication number on your CP140. Then the agency gives you the last five numbers.
Two more checks come from the IRS. Your CP140 names your agency, and the IRS private debt collection page lists the agencies under contract. And the IRM says the agencies will not ask for payment on prepaid debit, gift or iTunes cards.
How to pay
Every payment goes to the IRS. The IRS page lists two ways. Pay online through the IRS’s own payment page, or mail a check made payable to the United States Treasury. On the check, write the business name, the employer identification number, and the tax form and period. Mail it to the Internal Revenue Service, Kansas City, MO 64999-0010, the address the IRS page gives.
The IRM says the same: a check goes to the U.S. Treasury and straight to the IRS, not to the agency. If the business cannot pay in full, the agency can set up a payment plan.
What people mistake the CP140 for
Some owners take the agency’s call for a scam and ignore the account. Others take a scam call for the agency and pay the wrong party. The CP140 settles both: the real agency’s name sits on the IRS letter, and the real agency can finish the number exchange.
Others think that paying the agency settles the debt. The IRS page tells the business to work with the agency, but every payment still goes to the IRS.
Common Questions
Is a CP140 real?
A real CP140 names the agency. You can also check the agency’s name on the IRS private debt collection page, and the agency sends its own letter confirming the assignment.
Who do I pay?
The IRS. Pay online through the IRS payment page, or mail a check payable to the United States Treasury with the business name, employer identification number, and tax form and period.
Can I get a payment plan?
Yes. The IRS page says the agency will work with you to set up a payment plan if the business cannot pay in full.
What is the difference between a CP140 and a CP40?
The IRM uses the CP40 for an individual account and the CP140 for a business account. Both say the IRS assigned the account to a private collection agency.