CP504 Notice Help
CP504 Notice — The IRS Is Preparing to Seize Your Assets
A CP504 notice — “Notice of Intent to Levy” — is one of the most urgent IRS notices you can receive. It means the IRS is about to seize your state tax refund, and it may also place a levy on your wages, bank accounts, or other property. If you’ve received a CP504, you need to act immediately. At HofflerSmith Financial Services, our Enrolled Agents help taxpayers in Cherry Hill, NJ and throughout South Jersey respond before the IRS takes further action.
What the CP504 Means
- Your state tax refund is at immediate risk — The IRS can seize your New Jersey state refund without any further warning once a CP504 is issued.
- Additional levies may follow — While the CP504 specifically targets state refunds, it signals that wage garnishment, bank levies, and property seizures are next if the balance isn’t resolved.
- Your right to a Collection Due Process hearing may be closing — If you previously received an LT11 or Letter 1058 and did not request a CDP hearing, your options are now more limited. Time is critical.
What to Do When You Receive a CP504
- Don’t ignore it — This is not a letter you can set aside. The IRS has already been through multiple notice cycles to reach this point.
- Check the balance and verify it’s correct — Mistakes happen. We review the notice against your records and the IRS transcript to confirm the amount is accurate.
- Explore your resolution options — Depending on how much you owe and your financial situation, you may qualify for a payment plan, Offer in Compromise, Currently Not Collectible status, or penalty abatement.
- Contact a tax professional immediately — The sooner you engage with the IRS through a licensed representative, the more options you have available.
Our Enrolled Agents Will Handle This for You
You don’t have to deal with the IRS alone. HofflerSmith’s Enrolled Agents are federally licensed to represent taxpayers before the IRS Collections division. We’ll contact the IRS on your behalf, protect your assets where possible, and negotiate a resolution that works for your situation.