Tax · United States
IRS Notice CP504 — 'intent to levy', and what that actually covers
A CP504 says the IRS intends to seize (levy) your state income tax refund if the balance is not paid. Despite the alarming wording, at this stage that refund is the only thing the IRS can take — reaching wages or bank accounts requires one more notice with hearing rights.
How serious: enforcement closeAlso called: CP504, CP504B (business version), intent to levy notice, IRC 6331(d) notice
The CP504 is an escalated collection notice, sent under Internal Revenue Code section 6331(d) when earlier bills and reminders went unanswered. It states that the IRS intends to levy your state income tax refund if the balance is not paid, and warns that further collection action will follow.
The wording is deliberately strong — 'Notice of intent to levy', 'Intent to seize your assets', 'Amount due immediately'. The legal reality at this stage is narrower: the IRS can take your state tax refund. Levying wages or bank accounts requires one more notice, one that carries Collection Due Process hearing rights.
Businesses receive the same notice as CP504B. The notice also mentions the FAST Act passport rules, under which seriously delinquent tax debt can block passport issuance or renewal.
Who sends it
The Internal Revenue Service (IRS) — the United States federal tax authority, part of the Department of the Treasury.
The code 'CP504' (or 'CP504B' for businesses) is printed in the top corner. A bold headline reads 'Notice of intent to levy' or 'Intent to seize your assets', and the notice states 'Amount due immediately'. It mentions your state tax refund and the FAST Act passport rules.
The deadline
Pay immediately; 'If the IRS does not receive the amount due within 30 days from the date of this notice, the IRS can levy your state tax refund' (TAS)
The notice asks for immediate payment. If the IRS does not receive the amount due within 30 days from the date printed on the notice, it can levy your state tax refund.
If you do nothing
The IRS can seize (levy) any state tax refund you are entitled to. For other property, the IRS must first send a further notice offering a Collection Due Process hearing — the final levy notice (LT11 or CP90). The IRS may also file a Notice of Federal Tax Lien, and seriously delinquent tax debt can be certified to the State Department, which is then prohibited from issuing or renewing a passport under the FAST Act.
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How it escalates
- 01Levy of your state income tax refund after 30 days.
- 02Filing of a Notice of Federal Tax Lien, which affects access to credit.
- 03A Collection Due Process levy notice (LT11 / Letter 1058 / CP90) is sent; 30 days after it, the IRS can levy wages, bank accounts, business assets, personal property (vehicles, homes) and Social Security benefits.
- 04Passport denial or revocation: for seriously delinquent tax debt, the FAST Act prohibits the State Department from issuing or renewing a passport.
How to respond
Response types
- Confirm paymentPayment of the amount due (Online Account / Direct Pay / check or money order payable to United States Treasury)
- Ask for instalmentsPayment plan / installment agreement (Online Payment Agreement tool, or Form 9465) · IRC §6159; IRC §6331(k)(2) (levy prohibited while a proposed or accepted agreement is pending or in effect)Form: Form 9465 (Installment Agreement Request); Form 433-F or 433-A/433-B where a collection information statement is required
- Ask for more timeShort-term payment plan (up to 180 days) or a request that collection be temporarily delayed for hardship (Currently Not Collectible status) · IRC §6159 (short-term plan); IRC §6343 (release of levy causing economic hardship)Form: Form 433-F or Form 433-A where hardship status is requested
- File the objectionCollection Appeals Program (CAP) request — Form 9423, Collection Appeal Request · IRS Independent Office of Appeals administrative procedure (Publication 1660, Collection Appeal Rights)Form: Form 9423 (Collection Appeal Request)
- Ask for clarificationCall to the toll-free number on the notice to discuss the balance / account transcript requestForm: Form 4506-T for a mailed transcript
Where and how
- U.S. Mail (First-Class Mail)
- Certified Mail / Registered Mail (USPS), return receipt requested
- Designated Private Delivery Service (DHL Express / FedEx / UPS — qualifying service levels only)
- IRS Individual Online Account (irs.gov/account) / Business Tax Account
- Telephone — the number printed on the notice (general line 800-829-1040)
What makes it count
Act within 30 days of the notice date. Mailed responses are treated as filed on the postmark date under IRC §7502 when properly addressed with postage prepaid; because a levy follows this notice, send anything time-critical by certified mail with return receipt, or by a designated private delivery service to the campus street address (a courier cannot deliver to the P.O. Box on the notice). Online payments and payment-plan applications count on the transaction timestamp and must complete before the deadline.
Common questions
Can the IRS take my wages or bank account based on a CP504?
No. At the CP504 stage the IRS can levy your state tax refund. Before levying wages, bank accounts or other property, it must send a further final notice offering a Collection Due Process hearing.
What does the 30-day period mean?
If the amount due is not received within 30 days from the date printed on the notice, the IRS can levy your state tax refund.
What is the passport warning about?
For seriously delinquent tax debt, the FAST Act prohibits the State Department from issuing or renewing a passport. The notice mentions these rules.
What is a CP504B?
The business version of the same notice, with the same intent-to-levy meaning.
Sources
Facts verified against the sources below on 28 August 2026.