IRS notice CP504: intent to levy and your next 30 days

What does IRS notice CP504 mean?

IRS notice CP504 is the IRS telling you, in legal terms, that it intends to levy. It usually arrives after a CP14 bill and the CP501 and CP503 reminders went unanswered. The notice shows your current balance with penalties and interest and asks for payment immediately.

The IRS describes it as your notice of intent to levy required by Internal Revenue Code section 6331(d). Its explanation of the matching CP504B says to pay or contact the IRS no later than 30 days from the notice date, and after that the IRS can take further collection steps. It may also file a public Notice of Federal Tax Lien, which can affect your credit.

What the IRS can take after a CP504 notice

A CP504 does not let the IRS empty your bank account the next day. It does allow one type of levy immediately: your state tax refund. Levies on a state refund are one of the few exceptions where the IRS does not have to offer a hearing first, so a refund due from your state can be redirected to your federal balance.

Can the IRS take my paycheck after a CP504

Not on the strength of the CP504 alone. Before levying wages, bank accounts or other property, the IRS must send a Final Notice of Intent to Levy and Notice of Your Right to a Hearing at least 30 days in advance. That letter is the LT11 or Letter 1058. The CP504 warns that wages, real estate commissions and other income, bank accounts, business assets, personal assets such as your car and home, and Social Security benefits are all on the list once that step is complete.

Passport risk

The CP504 may also warn about passports. If your total assessed debt passes the seriously delinquent threshold, $66,000 for 2026, the IRS can certify it to the State Department, which can deny or revoke a passport. The 2027 threshold is not yet announced; it usually appears with the inflation adjustments in October or November. See passport revocation for tax debt.

Does a CP504 notice give me a hearing right

Not a Collection Due Process hearing. The IRS Independent Office of Appeals calls the CP504 a preliminary notice and says the IRS cannot levy with it alone; CDP rights begin only with the formal final notice. That comes later as an LT11 or Letter 1058, explained on our final notice of intent to levy page. Some people receive a CP90 instead, which also carries CDP rights.

You do have another route now. The IRS says you can use the Collection Appeals Program (CAP) before a levy happens. Under Publication 1660 you first ask for a conference with a collection manager, then appeal in writing, preferably on Form 9423. CAP cannot be used to challenge whether you owe the tax or how much, and its decisions cannot be taken to court, so it suits disputes about how collection is being handled.

How to stop a levy after a CP504

The goal in the next 30 days is to put your account into a status the IRS will not levy. Any of these works.

• Pay in full by IRS Direct Pay, card or check with the stub from the notice. This also releases any filed lien within 30 days.
• Set up a payment plan through the Online Payment Agreement. Individuals owing $50,000 or less can get a long-term plan online; the setup fee is $29 with direct debit. Balances under $100,000 can use a short-term plan of up to 180 days with no fee.
• Ask for Currently Not Collectible status if you cannot pay anything. The IRS may ask for Form 433-F and proof of income and expenses. Interest keeps running and a lien can still be filed.
• Submit an Offer in Compromise if you cannot pay the full debt. The application fee is $205 unless you meet the low-income certification.
• Call the number on the notice if you already paid or disagree with the balance, with your payment confirmation or documents ready.

You must have filed all required returns before the IRS will approve a plan. If a return is missing, file it now. For the mechanics of each kind of levy, see what an IRS levy is.

IRS notice CP504B and other versions

The IRS publishes a separate explanation page for CP504B. It carries the same message: a notice of intent to levy, a 30-day window from the notice date, and a warning about liens and passports. Its list of property the IRS may levy also names accounts receivable, which the CP504 list does not.

The responses are the same as for a CP504: pay, arrange a plan, request a hardship delay, submit an offer, or appeal under the Collection Appeals Program before a levy. For a business owing trust fund taxes, a streamlined plan is generally available only when the balance is $25,000 or less.

What comes after CP504

If nothing changes after 30 days, the next letter is normally the final notice of intent to levy with hearing rights. That starts a separate 30-day window to request a Collection Due Process hearing on Form 12153. Once that window closes, bank levies and continuous wage levies become possible. Our IRS notices hub shows the full sequence.