Background

A Collection Appeals Review (CAR) is an administrative process the IRS established to give taxpayers a quicker, lower‑cost way to challenge many collection actions without immediately entering a full Collection Due Process (CDP) appeal. CAR is intended to resolve errors, allow consideration of collection alternatives (installment agreements, Offers in Compromise, or Currently Not Collectible status), and protect taxpayer rights during enforcement activity. (See IRS: Collection Appeals Review: https://www.irs.gov/appeals/collection-appeals-review)

Step‑by‑step: How to request a CAR

1) Read the notice and confirm the deadline

  • Identify the IRS notice you received. CAR requests generally must be filed within 30 days of the date on certain IRS collection notices (for example, a final Notice of Intent to Levy). If you miss the CAR deadline, other remedies—such as filing Form 12153 for a CDP hearing—may or may not be available depending on the notice. Always use the date on the IRS notice to calculate deadlines.

2) Choose the correct form: Form 9423

  • File Form 9423, Collection Appeal Request. Complete the form carefully: list the tax periods, the specific collection action being appealed, and a concise statement of your reasons and desired outcome. Attach supporting evidence (payments, proof of hardship, bank statements, correspondence).

3) Attach documents and representation authorization

  • Include all relevant documents that support your position: proof of payment, bank/loan statements, hardship documentation, and prior correspondence with IRS collection staff. If you’re represented, attach Form 2848 (Power of Attorney) so Appeals can communicate with your representative directly.

4) Submit the CAR properly

  • Mail or fax Form 9423 and attachments to the Appeals office or address shown on the collection notice. Some situations allow online submission through IRS e-tools—follow the instructions on the notice or IRS Appeals page.

5) Confirm receipt and track the case

  • After Appeals receives a CAR, you should get an acknowledgement. Typical initial responses arrive within about 30 days, but complete resolution can take longer for complex matters. Keep copies of everything and note dates of mailing, fax transmissions, and calls.

6) Participate in the review

  • Appeals may request additional documents or a short conference (phone or in person). Be concise, factual, and bring only documents that directly support your requested relief. If Appeals agrees, they may suspend or modify the collection action while they review the case—however, suspension isn’t guaranteed in all cases.

Key documents to include

  • Completed Form 9423 (signed)
  • Form 2848 if represented
  • Proofs of payment or corrected account information
  • Current financial statement or collection‑analysis documents
  • Any prior correspondence with IRS Collection (see our related guide on what financial documents the IRS wants: “What Financial Documents the IRS Wants for a Collection Review” linked below)

Typical timelines and outcomes

  • Acknowledgement: usually within ~30 days.
  • Review: varies from a few weeks to several months depending on complexity.
  • Possible outcomes: release or withdrawal of the collection action, settlement via an installment agreement or Offer in Compromise, or referral back to collection with instructions.

How CAR differs from Collection Due Process (CDP)

  • CAR is an administrative appeals review and does not automatically create a right to seek judicial review in Tax Court. CDP (filed on Form 12153) may provide a right to go to Tax Court if you file timely. Choose the path that fits your case—and if in doubt, consult a tax professional. (See: “Appealing an IRS Collection Action: From CDP to Appeals Office” linked below.)

Practical tips and common mistakes

  • Don’t miss the deadline: calculate 30 days from the notice date and file early.
  • Don’t send a partial file: attach all evidence you want considered the first time.
  • Use Form 2848 if you want your CPA, attorney, or enrolled agent to speak for you.
  • Don’t assume collection action is automatically paused—confirm in writing.
  • Avoid mixing CAR and CDP forms; use the form the notice identifies.

When to get professional help

  • Hire a tax attorney, CPA, or enrolled agent if your case involves substantial amounts, complex tax issues, or legal arguments. In my experience working with clients facing levies or liens, timely CAR filing plus clear financials often produces faster, less adversarial resolutions than waiting for enforced collection.

Related resources on FinHelp

Authoritative sources

Disclaimer
This article is educational and not legal or tax advice. For help specific to your situation, consult a licensed tax professional, attorney, or the Taxpayer Advocate Service for low‑cost assistance.

(Article reviewed for accuracy as of 2025.)