Immediate priorities after you get the notice

Receiving a Notice of Intent to Seize Property is urgent but not always fatal to your finances. In my 15 years advising clients on tax collections, acting promptly has been the single biggest factor in avoiding asset loss. Follow these immediate steps within 24–48 hours:

  • Verify the notice is genuine. Scams use fake IRS language and demands. Compare the letter number and contact info to IRS.gov and call the IRS collections phone number shown on the notice (or 1-800-829-1040 for individuals) to confirm. Do not call any unfamiliar number printed on the letter without verifying. (See IRS guidance on protecting yourself from scams: https://www.irs.gov/newsroom/tax-scams-consumer-alerts.)

  • Read the deadline. Most final levy notices give you 30 days to respond and may inform you of the right to a Collection Due Process (CDP) hearing under Internal Revenue Code §6330. Missing that deadline narrows your options. (IRS: IRS enforcement of collection due process rights: https://www.irs.gov/newsroom/irs-enforcement-of-collection-due-process-rights.)

  • Don’t ignore it. Ignoring the notice is the most common mistake I see; silence often leads to levies on bank accounts, wages, or even seizure of property.

Key legal rights and deadlines

  • Final notice requirement: Under the tax code, the IRS must send you a final notice of intent to levy at least 30 days before taking enforced collection action. That final notice usually explains your right to a hearing.

  • Collection Due Process (CDP) hearing: If you timely request a CDP hearing (usually within 30 days of the notice), the IRS will generally pause any levy while the hearing is pending. Use the CDP to propose an alternative such as an installment agreement, offer in compromise, or to argue that the levy is improper. (See IRS CDP info: https://www.irs.gov/newsroom/irs-enforcement-of-collection-due-process-rights.)

  • Appeals and collection appeals program: If you’re already in collections, you may have options through the Taxpayer Advocate Service or the IRS Office of Appeals.

Step-by-step action plan (practical)

  1. Gather documentation
  • Notices and letters from the IRS (all pages)
  • Recent pay stubs, bank statements, and proof of monthly expenses
  • Copies of filed tax returns and any correspondence with the IRS
  • Valuation docs for major assets (vehicle titles, mortgage statements, real estate valuations)
  • Identification and business records if you operate a business
  1. Call the IRS (or have a tax pro call)
  • Ask the representative to confirm the notice and exact amounts owed, including penalties and interest
  • Ask whether a levy is scheduled and when it would happen
  • Request the tax balance history in writing if needed
  1. Consider filing for a Collection Due Process (CDP) hearing immediately
  • Filing a timely CDP request generally halts levy action until the hearing outcome. Your CDP gives you the right to challenge the collection and present alternatives (e.g., installment agreement, Offer in Compromise, or currently not collectible status).
  1. Evaluate payment and relief options
  • Installment agreement: Often the fastest way to stop a levy is to secure a payment plan. The IRS allows online setup for many cases, or you can request one during a CDP/collections call. See IRS payment options: https://www.irs.gov/businesses/small-businesses-self-employed/four-ways-to-pay-your-taxes.
  • Offer in Compromise (OIC): If you can prove you can’t pay the full amount, an OIC may settle the debt for less than owed. OICs require a detailed financial package and strict eligibility rules; they can take months to process. For background and application help, see our guide on What Is an Offer in Compromise? Eligibility, Process, and Alternatives. (Internal: https://finhelp.io/glossary/what-is-an-offer-in-compromise-eligibility-process-and-alternatives/)
  • Currently Not Collectible (CNC) status: If you can show severe financial hardship, the IRS may temporarily suspend collection activity. This isn’t forgiveness — interest and penalties continue to accrue.
  • Full pay or levy release: Paying in full or negotiating a release through the IRS collections officer will stop a levy; sometimes lenders or third parties can assist with short-term bridge funds.
  1. If levy already occurred, act fast
  • Bank levy: Banks typically freeze funds for 21 days before releasing them to the IRS. You can request a release by proving the funds are exempt (e.g., Social Security) or by setting up a payment plan. Contact the IRS collections person listed on the notice immediately.
  • Wage levy: Contact your employer’s payroll or HR and the IRS to request hardship consideration and seek an installment agreement or levy release.

Documentation and forms commonly used

  • Form 433-F (Collection Information Statement) — used to provide a complete picture of your financial condition when negotiating with collections. (Current as of 2025.)
  • Form 9465 (Installment Agreement Request) and online installment tools on IRS.gov are common ways to set up payments.
  • Form 656 and Form 433-A(OIC) for Offer in Compromise applications. See IRS instructions for OICs before applying. (IRS OIC info: https://www.irs.gov/businesses/small-businesses-self-employed/offer-in-compromise.)

When to call a professional (CPA, enrolled agent, or tax attorney)

  • If the amount owed is large, the property at risk is significant, or the IRS is threatening seizure within days, hire a tax attorney or an enrolled agent immediately.
  • Use a CPA or enrolled agent for negotiations, preparing financial statements, and filing installment agreements or OIC packages. A tax attorney is necessary if criminal exposure or bankruptcy interplay exists.
  • In my practice, cases resolved faster and with fewer asset losses when a licensed practitioner led communications with the IRS.

Practical negotiating tips

  • Be organized and honest. The IRS reviews complete financial statements; half-truths prolong the process.
  • Prioritize documented living expenses and exempt income (Social Security, certain public benefits) when arguing hardship.
  • If you accept an installment agreement, choose direct debit when possible — it reduces defaults and can lower fees.

Common mistakes to avoid

  • Waiting past the 30-day CDP deadline — doing so forfeits a key appeal right.
  • Accepting aggressive, upfront-fee-only tax relief companies without verifying credentials. Check credentials at the IRS or the State Board.
  • Forgetting to freeze or protect exempt funds before a bank levy is executed.

How long will the process take?

Timelines vary. A CDP hearing decision may take weeks to months depending on workload and case complexity. Offer in Compromise decisions usually take several months. Installment agreements can be arranged within days if you provide the required documents.

Scams and safety

Always verify the notice on IRS.gov and avoid sending money to third parties that contact you. The IRS will not demand immediate payment without offering secure payment channels or without prior written notice. For scams and impersonation alerts, see the IRS consumer alerts page: https://www.irs.gov/newsroom/tax-scams-consumer-alerts.

Helpful internal resources

When bankruptcy or other alternatives matter

Bankruptcy can stop a levy under the automatic stay, but tax debts treated in bankruptcy depend on the type and age of the taxes owed. Consult a bankruptcy attorney before using bankruptcy as a collection defense.

Final thoughts and next steps

A Notice of Intent to Seize Property is serious, but it also gives you a legal window to act. In most cases I’ve handled, early documentation, a timely CDP request, and clear proposals to the IRS prevented seizure. Start by verifying the notice, gather your records, and seek professional help if the debt is substantial.

Professional disclaimer: This article is for educational purposes only and does not replace individualized legal or tax advice. Consult a qualified tax professional, enrolled agent, or tax attorney about your specific situation.

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