What Is a CP504 Notice?
A CP504 is one of the most urgent IRS collection notices you can receive. It is titled "Notice of Intent to Levy and Notice of Your Right to a Hearing" — and it signals that the IRS is serious about collecting your tax debt through enforcement action.
Unlike earlier balance-due notices (CP14, CP501, CP502, CP503), which are reminders, the CP504 has direct legal consequences:
After CP504, the IRS can levy your state tax refund — the state will redirect your refund to the IRS without any additional notice to you.
What Comes After CP504?
CP504 is not the final notice before a levy on wages or bank accounts. That final notice is the LT11 or Letter 1058 (Final Notice of Intent to Levy). The LT11/Letter 1058 starts your 30-day window to request a Collection Due Process (CDP) Hearing — after which levy action can begin on all assets.
The sequence is:
- CP14 → CP501 → CP502 → CP503 → CP504 → LT11/Letter 1058 → Levy
If you have received CP504 and have not yet received LT11 or Letter 1058, you still have time to act before the most serious levy actions begin. Use it.
What Information Is on a CP504?
Your CP504 will show:
- The tax year and type (Form 1040, 941, etc.)
- The total balance due (tax + penalties + interest)
- A statement that the IRS intends to levy your property
- Your right to request a hearing
- Contact information for the IRS
What the IRS Can Do After CP504
State tax refund levy — Immediately upon sending CP504, the IRS can instruct state tax agencies to redirect any refund owed to you directly to the IRS.
Passport restriction — If your balance exceeds $59,000 (adjusted annually for inflation), the IRS can certify your debt to the State Department, which can refuse to issue or renew your passport.
Additional notices — The LT11 or Letter 1058 will follow, triggering the formal levy clock.
How to Stop the Escalation
Pay in Full: Immediately stops all collection actions. Online payment at IRS.gov/payments is the fastest method.
Establish an Installment Agreement: Set up a payment plan before the next notice arrives. Online setup is available for balances under $50,000. Once approved, levy action is suspended.
Submit an Offer in Compromise: If you cannot pay the full balance, submit Form 656 and Form 433-A. Levy action is generally suspended during OIC review.
Request a CDP Hearing: If you have already received LT11 or Letter 1058 (not just CP504), file Form 12153 to request a Collection Due Process Hearing. This formally suspends levy action.
Prove Economic Hardship: If paying would prevent you from meeting basic living expenses, request Currently Not Collectible status and documenting your financial situation.
Dispute the Liability: If you believe the amount is incorrect, respond in writing with documentation. Include a copy of the notice and all supporting records.
Passport Implications
If the balance on your CP504 is $59,000 or more, take note: the IRS can certify your debt to the U.S. State Department. The State Department will then:
- Refuse to issue a new passport
- Refuse to renew your existing passport
- In some cases, revoke a current passport
Certification can be reversed once the debt is paid, reduced below the threshold, or placed in an approved resolution program. Click here to see if you qualify for an installment agreement or offer in compromise (installment agreement or OIC).
Do Not Ignore CP504
The CP14 was ignorable in the short term (though inadvisable). The CP504 is not. Action now prevents the LT11 from arriving — and once the LT11 is sent and the 30-day window passes, the IRS has full authority to begin levying your wages, bank accounts, and other assets without further notice.
Use our free eligibility guide to find out which resolution option can stop this process.