What this notice means
The IRS still hasn't received payment of your balance. This is its final reminder, and your formal notice that it intends to levy, which means legally take your property or income to pay the debt.
If you don't pay, the IRS can take your state tax refund and will start looking for other assets to levy. The notice also explains that seriously delinquent tax debt can keep you from getting or renewing a U.S. passport.
Why you got it
- Tax on one of your accounts is still unpaid.
- Earlier bills and reminders about that balance weren't paid in full.
What to do now
- Go over the notice closely. It lists the amount due and your options for paying.
- Pay the amount due right away. You can pay online or mail your payment in the envelope provided, along with the bottom part of the notice.
- If you can't pay it all, pay what you can now. Then call the toll-free number on your notice or apply online for a payment plan. Applying with the Online Payment Agreement tool is the quickest route to an approved installment agreement.
- If you disagree, call the toll-free number on your notice right away.
- If you've already paid or set up an installment agreement, still call so the IRS can confirm your account shows it.
- If you want to appeal before any collection action, you can request one under the Collection Appeals Program. Follow the instructions on your notice.
If you don't respond
The IRS can take your state tax refund and file a notice of federal tax lien. If you still owe after that, it may send a notice of your right to a hearing, such as an LT11 or Letter 1058, and can then levy other property like wages, bank accounts or Social Security benefits.
Questions people ask
Can the IRS take my wages or bank account because of this notice?
Not with this notice alone. The IRS first has to send a formal notice of intent to levy that explains your right to a hearing. Your state tax refund is the exception, since the IRS can take it after this notice. The IRS says it's in your best interest to respond now instead of waiting.
Can this affect my passport?
It can. Under the FAST Act, the State Department generally can't issue or renew a passport for someone with seriously delinquent tax debt. IRS.gov/passports has the details.
What if I don't agree that I owe this?
Call the toll-free number on your notice right away. The IRS also lists other routes, such as paying and then filing a refund claim, asking for audit reconsideration with new information, or making an offer in compromise based on doubt about what you owe.