Nicholas Frey

Receiving IRS Notice LT11 can be alarming. This notice is not simply another reminder letter from the Internal Revenue Service. Instead, it is the IRS’s formal “Final Notice of Intent to Levy and Notice of Your Right to a Hearing.” In many cases, it is the final warning before the IRS begins garnishing wages, freezing bank accounts, or seizing assets to collect unpaid taxes.

Understanding what the LT11 notice means and acting quickly can make the difference between resolving a tax problem peacefully and facing aggressive IRS enforcement action.

What Is IRS Notice LT11?

IRS Notice LT11 is a legally required notice issued under Internal Revenue Code Section 6330 before the IRS can levy a taxpayer’s property. A levy is different from a tax lien. A levy involves the actual seizure of assets, such as:

Bank accounts
Wages
Social Security benefits
Accounts receivable
Investment accounts
Business assets
Personal property

The IRS generally sends LT11 after several prior collection notices have gone unanswered, including notices such as CP14, CP501, CP503, and CP504.
The LT11 notice gives taxpayers an opportunity to challenge the proposed collection action through a Collection Due Process (“CDP”) hearing before the IRS Independent Office of Appeals.

Why the LT11 Notice Is Extremely Important

Many taxpayers mistakenly believe they still have time because they received earlier IRS notices. However, LT11 is different because it provides the IRS with authority to begin levy action after the response deadline expires.

Once the IRS begins levy enforcement, taxpayers may experience:

Wage garnishments
Frozen bank accounts
Seizure of business income
Intercepted tax refunds
Passport certification issues for seriously delinquent tax debt
Federal tax liens impacting credit and property transactions

Ignoring an LT11 notice can significantly limit available resolution options.

How Long Do You Have to Respond?

Generally, taxpayers have 30 days from the date printed on the LT11 notice to request a Collection Due Process hearing using IRS Form 12153.
This deadline is extremely important.

If the hearing request is timely filed, IRS levy action is generally suspended while Appeals reviews the case. In many situations, this can stop immediate garnishment or bank levy action and provide valuable time to negotiate a resolution.

If the 30-day deadline is missed, taxpayers may still request an Equivalent Hearing within one year, but they lose important appeal rights, including the right to petition the United States Tax Court.

What Is a Collection Due Process Hearing?

A Collection Due Process hearing is an administrative appeal conducted through the IRS Independent Office of Appeals. During the hearing, taxpayers may challenge the proposed levy action and explore collection alternatives such as:

Installment Agreements
Offers in Compromise
Currently Not Collectible status
Innocent Spouse Relief
Penalty Abatement
Challenges to improper IRS procedures

In certain circumstances, taxpayers may even challenge the underlying tax liability if they never previously had an opportunity to dispute it.
Common Reasons Taxpayers Receive an LT11

Taxpayers often receive LT11 notices because:

Tax returns were filed without full payment
The IRS prepared Substitute for Returns (“SFRs”)
Payroll tax liabilities remain unpaid
Installment agreements defaulted
Taxpayers failed to respond to earlier notices
Revenue Officers were assigned to collection cases

Both individuals and businesses can receive LT11 notices.

What Should You Do After Receiving LT11?

1. Do Not Ignore the Notice

Ignoring the notice is one of the worst things a taxpayer can do. The IRS may proceed with levy enforcement after the deadline expires.

2. Verify the Tax Liability

Review transcripts, tax returns, and IRS records carefully. In some situations, the balance may be incorrect due to:

Missing payments
Unprocessed returns
Incorrect assessments
Identity theft
Payroll reporting issues

3. Determine Your Resolution Options

Taxpayers may qualify for:

Monthly payment plans
Offer in Compromise settlements
Penalty relief
Hardship status
Appeals remedies

4. Consider Filing Form 12153

Requesting a timely CDP hearing may temporarily stop collection action and preserve appeal rights.

5. Speak With an Experienced Tax Attorney

An experienced tax attorney can evaluate collection alternatives, determine whether IRS procedures were followed correctly, and communicate directly with the IRS on your behalf.

LT11 vs. CP504: What Is the Difference?

Many taxpayers confuse LT11 with CP504. While both involve levy warnings, they are not the same.

The CP504 generally warns about levy action involving state tax refunds and certain assets. However, LT11 is typically the formal notice that provides Collection Due Process rights under IRC §6330.

In other words, LT11 is often the more legally significant notice.

How Frey Law Firm May Help

Receiving an LT11 notice does not automatically mean the IRS will seize your property tomorrow. However, it does mean the situation has escalated significantly and immediate action is necessary.

Frey Law Firm assists taxpayers facing IRS collection actions, including:

IRS levies
Wage garnishments
Revenue Officer cases
Collection Due Process hearings
Installment agreements
Offers in Compromise
Penalty abatement requests
IRS appeals

In many situations, early intervention can stop enforcement action and create additional opportunities to resolve the matter favorably.

Contact Frey Law Firm

If you received IRS Notice LT11 or Letter 1058, do not wait until your wages or bank account are levied.

The sooner action is taken, the more options may be available.

Contact Frey Law Firm today to discuss your IRS collection matter and protect your rights before enforcement action begins.