Intent to Levy Notice Help From Licensed Tax Agents in Pasadena, CA
An Intent to Levy notice is the IRS telling you, in writing, that it is about to start taking money. It comes with a deadline, and what you do before that date shapes everything that follows. At Fresh Start Tax Relief Services in Pasadena, our licensed tax agents help you understand which notice you received, which rights it gives you, and how to respond in time. We are a women-owned business with decades of experience dealing with the IRS.
Your Right to a Collection Due Process Hearing
After a final notice, you generally have 30 days to request a Collection Due Process hearing by filing Form 12153. A timely request generally pauses the levy while the hearing is pending. At the hearing, you can challenge the proposed levy or propose an alternative such as an installment agreement or an Offer in Compromise. If you disagree with the outcome, you can generally ask the Tax Court to review it.
Miss the 30 days and you may still request an equivalent hearing within one year. That hearing does not stop the levy, though, and its outcome cannot be taken to the Tax Court. The difference is a strong reason to act early.
Two Notices With Very Different Consequences
The IRS sends more than one notice that mentions a levy, and the differences matter.
CP504: Notice of Intent to Levy
A CP504 is a serious warning that follows earlier balance due notices. Once it is issued, the IRS can begin levying your state tax refund, and it signals that broader collection is coming if the balance stays unpaid.
LT11 or Letter 1058: Final Notice
This is the final notice of intent to levy, usually sent by certified mail. It also gives you the right to a Collection Due Process hearing, which is one of the most important protections a taxpayer has. If you do not act by the deadline, the IRS can levy your bank account or wages. You can read more about these letters on our certified letter from the IRS page.
Why the Clock Matters
Ignoring the notice has a cost beyond the levy itself. The failure-to-pay penalty generally rises from 0.5% to 1% per month starting 10 days after the IRS issues a notice of intent to levy. Every week of delay makes the balance larger and the options narrower.
If the deadline passes, a
tax levy can take the money in your bank account at that moment or reach your paycheck through your employer. That is exactly what responding in time is meant to prevent.
How We Help When You Get This Notice
This would be a great time to call on a professional. When you bring us your notice, we identify which one it is, confirm the deadline, and review your full tax picture. We can then pursue the resolution that fits, whether that means requesting a hearing, negotiating a payment plan, pursuing penalty abatement, or filing missing returns. We handle communication with the IRS for you, so you are not facing it alone.
Serving Pasadena and Clients Nationwide
Our office serves clients in Pasadena, Sierra Madre, San Marino, Glendale, and throughout Los Angeles County. No matter where your notice arrived, we can help: "Not only do we service every single county in California, but we service taxpayers nationwide." Learn more about the Tax Superwomen on the Fresh Start Tax Relief home page.
Frequently Asked Questions
What is the difference between a CP504 and an LT11?
A CP504 is a notice of intent to levy that allows the IRS to levy your state tax refund. An LT11 or Letter 1058 is the final notice and gives you the right to a Collection Due Process hearing.
How do I request a Collection Due Process hearing?
You file Form 12153 within 30 days of the final notice. A timely request generally pauses the levy while your hearing is pending.
What if I missed the 30-day deadline?
You may still request an equivalent hearing within one year of the notice. However, it does not stop the levy, and the result cannot be reviewed by the Tax Court.
What can I propose at a Collection Due Process hearing?
You can challenge the proposed levy or propose an alternative, such as an installment agreement or an Offer in Compromise, based on your financial situation.
Does ignoring the notice increase what I owe?
Yes. The failure-to-pay penalty generally increases to 1% per month starting 10 days after the IRS issues a notice of intent to levy.