What is an IRS CP504 notice?
CP504 is the IRS's official Notice of Intent to Seize. By the time you receive one, the IRS has already sent at least three earlier letters (typically CP14, CP501, and CP503).
The notice tells you two things:
- The IRS intends to seize your state tax refund as soon as it's available.
- The IRS may proceed to seize other property after the next notice in the sequence (LT11 or Letter 1058).
Why you received it
You received CP504 because you have an unpaid federal tax balance and the IRS hasn't received a payment or resolution from you in response to its earlier notices. CP504 is sent via certified mail.
What to do — your 30-day action plan
Step 1: Read the notice carefully and confirm the amount
Verify the tax year, the balance owed, and the deadline. CP14s have been sent in error before — but rarely. Don't assume; confirm.
Step 2: Choose a response path
You have five practical options within the 30-day window:
| Option | When it's the right move |
|---|---|
| Pay in full | You have the cash. This stops everything immediately. |
| Installment Agreement | You can pay, just not all at once. Sets up monthly payments and pauses the levy. |
| Offer in Compromise | You genuinely can't pay the full amount. Settles for less. |
| Currently Not Collectible | You're in financial hardship. IRS pauses all collection. |
| Request a Collection Due Process (CDP) hearing | You want to formally challenge the levy. Must be filed within the 30-day window. |
Step 3: File any unfiled returns
The IRS will reject any resolution request — installment, OIC, CNC — until every required return is on file. If you have unfiled returns from prior years, this is the bottleneck.
Step 4: Submit your chosen response in writing
Verbal agreements with IRS phone agents are not enforceable. Whatever you set up — installment plan, OIC, CDP hearing — needs to be on the record in writing, with confirmation.
Step 5: Document everything
Keep copies of the CP14, your response, certified mail receipts, and any IRS confirmation letters. If anything goes sideways later, this paper trail is what protects you.
What NOT to do
- Don't ignore it. The IRS does not bluff with CP14. After 30 days, your state refund is gone, and LT11 is on its way.
- Don't drain your bank account in panic. Withdrawing or hiding funds doesn't help — it can be reversed by levy and may trigger fraud allegations.
- Don't call the IRS without preparation. Anything you say is recorded. Going in without a strategy can lock you into terms that hurt you.
- Don't agree to a payment plan you can't afford. Defaulting on an installment agreement restarts collection — and it's much harder to negotiate the second time.
- Don't trust calls or emails claiming to be from the IRS. The IRS will never demand payment by gift card, wire transfer, or cryptocurrency. Real CP14s come by certified mail only.
What comes after CP504 if you don't respond
- Day 30+: IRS seizes any state tax refund.
- LT11 / Letter 1058: Final Notice of Intent to Levy and Notice of Right to a Hearing.
- Active enforcement begins: wage garnishment, bank levies.
Find the resolution path that fits your situation
If you got a CP14, the right next step depends on your finances. Use the calculator to see which IRS program — Installment Agreement, Offer in Compromise, or CNC — fits before the 30-day clock runs out.
Frequently asked questions
Is CP504 the same as a final notice?
No. CP504 is the notice of intent to seize your state refund. The final notice that authorizes broader levies (wages, bank accounts) is LT11 / Letter 1058.
Can I ignore a CP504?
No. Ignoring CP504 leads to immediate seizure of your state refund and progresses the IRS to LT11 — the final notice before wage garnishment.