IRS Notice Translator
IRS LT11 Notice: Request a Collection Due Process Hearing Before It's Too Late
Received an IRS LT11 final notice before levy? You have exactly 30 days to request a Collection Due Process hearing. Miss it and lose your Tax Court rights forever.
The LT11 is the IRS's final warning before they seize your wages, bank accounts, or property. You have exactly 30 days from the notice date to request a Collection Due Process (CDP) hearing — one of the most powerful taxpayer rights available. Miss this deadline and the IRS can start taking your money with no further warning. Here's how to use your CDP rights.
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What Makes the LT11 Different from Earlier Notices
Unlike the CP501, CP503, or CP504, the LT11 (also called Letter 1058) is the statutory final notice required by law before the IRS can levy your property. Specifically:
- It triggers your CDP rights under IRC § 6330 — your legal right to a hearing before an independent IRS Office of Appeals officer
- The 30-day clock is hard — missing it means you lose Tax Court access and can only request an Equivalent Hearing (which has no Tax Court appeal right)
- Levy can begin on day 31 — after your 30 days expire without a CDP request, the IRS can immediately seize wages, bank accounts, Social Security benefits, and other assets
- It may come with Notice of Federal Tax Lien information — the IRS often files a lien around the same time as the LT11
The IRS sends the LT11 via certified mail. The 30-day clock starts on the date of the notice, not the date you receive it or sign for it.
What Is a Collection Due Process Hearing?
A CDP hearing is a formal review conducted by the IRS Office of Appeals — an independent division that operates separately from IRS Collections. At a CDP hearing, you can:
Challenge collection alternatives:
- Propose an installment agreement
- Propose an Offer in Compromise
- Request Currently Not Collectible status
- Request innocent spouse relief
Challenge the appropriateness of the levy:
- Argue the levy would create economic hardship
- Dispute that proper procedure was followed
- Raise spousal defenses
Challenge the underlying tax liability (limited):
- Only if you never received a statutory notice of deficiency (90-day letter) or never had a prior opportunity to dispute the tax
- Most common for substitute-for-return assessments or trust fund penalties
After the hearing, the appeals officer issues a Notice of Determination. If you disagree, you have 30 days to petition the U.S. Tax Court — which is the only way to get judicial review of an IRS levy.
How to File a CDP Hearing Request (Form 12153)
To request a CDP hearing, file IRS Form 12153 (Request for a Collection Due Process or Equivalent Hearing).
On Form 12153:
1. Enter your name, SSN/EIN, and address 2. Enter the notice number and date from your LT11 3. Check the box for 'Collection Due Process (CDP) Hearing' 4. Under 'Reasons for Hearing,' explain: - What collection alternatives you want to propose - Any procedural issues you want to raise - Any challenges to the underlying liability (if applicable)
Mailing instructions:
- Mail to the address shown on the LT11 (not the standard IRS address)
- Use certified mail with return receipt
- Keep copies of everything
- The postmark date is what counts — mail by day 30 at the latest
What to write in reasons: Be specific but not exhaustive. You can raise additional issues at the actual hearing. At minimum, write something like: 'I am requesting an installment agreement and disputing the penalty amounts. I believe I qualify for first-time abatement.'
Filing Form 12153 automatically suspends the levy while your CDP case is pending.
What Happens After You File Form 12153
After you file:
- IRS Office of Appeals receives your case (typically 4-8 weeks after filing)
- An appeals officer is assigned and contacts you to schedule a conference (by phone, video, or in-person)
- You submit your financial information and proposed collection alternative (Form 433-A or 433-B for installment agreements; Form 656 for OIC)
- The hearing takes place — typically 30-90 minutes by phone for straightforward cases
- The appeals officer issues a Notice of Determination — usually within 60-90 days of the hearing
- If you disagree, you can petition Tax Court within 30 days of the Notice of Determination
During the entire CDP process, the IRS cannot levy your property. This suspension can last many months while the case is pending — giving you time to stabilize your finances.
If you miss the 30-day CDP window, you can still request an Equivalent Hearing within one year. The process is similar, but you lose Tax Court appeal rights. The levy is also not automatically suspended during an Equivalent Hearing.
Strategic Uses of the CDP Hearing
Beyond just buying time, a CDP hearing is a genuine negotiating opportunity:
Installment Agreement: Present your financials showing what you can realistically pay monthly. The appeals officer has authority to approve agreements that standard IRS Collections might refuse.
Offer in Compromise: File Form 656 simultaneously with your CDP request. The OIC process can take 12-18 months, during which levy action is suspended.
Penalty Abatement: CDP hearings are an appropriate forum to argue First-Time Abatement or reasonable cause. The appeals officer can abate penalties that IRS phone reps may have refused.
Lien Withdrawal: If a Notice of Federal Tax Lien was filed, you can request lien withdrawal as part of your CDP resolution — particularly if you're entering a Direct Debit Installment Agreement under the Fresh Start program.
Hardship determinations: If levy would leave you unable to pay for basic necessities (housing, food, utilities), you can request the appeals officer document this as economic hardship, which affects what the IRS can take.
Preparing for Your CDP Hearing
Come to your CDP hearing prepared:
Financial documents:
- Last 3 months of bank statements (all accounts)
- Pay stubs or income documentation
- Monthly expense breakdown (rent, utilities, food, transportation, medical)
- List of assets (home value, car value, retirement accounts)
Tax documents:
- Copies of all returns for years in question
- Any previous correspondence with the IRS
- Documentation of any payments made
Collection alternative documentation:
- Form 433-A (individuals) or 433-B (businesses) completed in full
- For OIC: Form 433-A OIC with supporting documents
Legal research (if contesting the tax):
- Documentation showing the income wasn't received or wasn't taxable
- Records showing deductions you claimed were legitimate
The appeals officer is a neutral party — treat them professionally and honestly. They're not your adversary; they're there to find a resolution.
When to Hire Representation for an LT11
The LT11/CDP process is one situation where professional representation almost always pays off:
- Tax attorneys are ideal for complex cases, potential Tax Court litigation, and trust fund penalty disputes
- Enrolled Agents are effective for most collection cases, OIC applications, and installment agreements
- CPAs can help but may lack IRS collections specialization
Low-income taxpayers: The IRS Low Income Taxpayer Clinic (LITC) program provides free or low-cost representation for qualifying individuals. Find a clinic at taxpayeradvocate.irs.gov/litc.
Taxpayer Advocate Service: If the IRS is causing significant hardship (imminent levy on your primary residence, levy creating inability to pay for basic necessities), contact the Taxpayer Advocate Service at 877-777-4778. They're an independent IRS office that can intervene on your behalf.
Frequently Asked Questions
Quick answers to the most common questions on this topic.
What happens if I miss the 30-day CDP deadline on an LT11?
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You lose your right to Tax Court review and the automatic levy suspension. You can still request an Equivalent Hearing within one year, but the IRS can levy while the Equivalent Hearing is pending, and the only appeal from an Equivalent Hearing is back through the IRS — not Tax Court.
Can the IRS levy my retirement account?
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Yes. The IRS can levy 401(k)s, IRAs, and pension accounts. Unlike many creditors, the IRS is not subject to ERISA protections. However, the IRS typically avoids retirement account levies unless other collection options have been exhausted. A CDP hearing is a good opportunity to propose alternatives before the IRS reaches retirement funds.
Does filing for bankruptcy stop an IRS levy?
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Filing bankruptcy triggers an automatic stay that halts IRS collections, including levies. However, tax debt is not always dischargeable in bankruptcy. Chapter 7 can discharge income tax debt that meets age, filing, and assessment requirements (generally 3+ years old, filed 2+ years ago, assessed 240+ days ago). A bankruptcy attorney should be consulted before filing.
How long does a CDP hearing process take?
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From filing Form 12153 to receiving a Notice of Determination typically takes 6-12 months. Complex cases or Tax Court appeals can take 2-3 years. During this entire period, the IRS generally cannot levy. This timeline can be strategically useful for taxpayers who need time to stabilize their financial situation.
Can I request a CDP hearing if I already have an installment agreement?
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If your installment agreement is current and active, a levy notice shouldn't be issuing. However, if the IRS terminated your agreement and then sent an LT11, you can request a CDP hearing to reinstate the agreement or propose a new one. File Form 12153 within 30 days regardless of the reason for the LT11.