Received IRS Notice CP90? This is the IRS's final warning before seizing your assets. You have 30 days to request a Collection Due Process (CDP) hearing or pay your balance. Learn your rights and how to respond immediately.
IRS Notice CP90 is the final notice of intent to levy and your last chance to prevent the IRS from seizing your assets. This notice informs you that the IRS intends to levy (seize) your property, including bank accounts, wages, Social Security benefits, retirement accounts, and other assets to satisfy your tax debt.
CP90 is one of the most serious IRS notices you can receive. It gives you 30 days from the date of the notice to either pay your balance in full, set up a payment arrangement, or request a Collection Due Process (CDP) hearing to challenge the proposed levy.
Critical points about CP90:
The CP90 notice will show the tax year(s), the total amount owed (including penalties and interest), and detailed instructions for requesting a Collection Due Process hearing using Form 12153.
The IRS typically sends CP90 notices for the following reasons:
Ignored Multiple Collection Notices
You received CP14, CP501, CP503, and CP504 but didn't pay the amount owed or contact the IRS to set up a payment arrangement. The IRS has exhausted all voluntary collection efforts and is now moving to enforced collection.
Large Unpaid Tax Debt
You owe a significant amount in back taxes, and the IRS has determined that a levy is necessary to collect the debt. CP90 is sent when the IRS believes voluntary payment is unlikely.
Failed Payment Plan
You previously had an installment agreement but defaulted by missing payments. The IRS terminated your payment plan and is now proceeding with levy action.
Unfiled Tax Returns with Balance Due
You have unfiled tax returns, and the IRS filed substitute returns on your behalf showing a balance due. After multiple notices, the IRS is now moving to levy to collect the assessed debt.
Immediate Actions Required:
Request a Collection Due Process (CDP) Hearing
File [Form 12153](/forms/12153) (Request for a Collection Due Process or Equivalent Hearing) within 30 days of the CP90 notice date. This stops the levy and gives you the right to challenge the IRS's proposed collection action before an independent appeals officer. You can propose alternative collection methods like installment agreements or offers in compromise during the hearing.
Pay the Full Amount
If you can pay the full balance immediately, do so to stop the levy process. You can pay online through IRS Direct Pay, by credit/debit card, via electronic funds withdrawal, or by mailing a check. Paying in full immediately resolves the issue.
Set Up an Installment Agreement
If you can't pay in full, apply for an installment agreement immediately. You can [apply for a payment plan](/payment-plan/new) online through the IRS Online Payment Agreement tool or by calling the number on your notice. Setting up a payment plan can stop the levy if the IRS approves your application.
Consult a Tax Attorney
CP90 is a serious legal matter. Consider consulting with a tax attorney who specializes in IRS collections to evaluate your options, represent you in a CDP hearing, and negotiate with the IRS on your behalf.
Collection Due Process (CDP) Hearing
File Form 12153 within 30 days to request a hearing. This stops the levy and allows you to propose alternative collection methods. You can challenge the amount owed, propose an installment agreement or offer in compromise, or request Currently Not Collectible status.
Pay in Full
Pay the full balance immediately through IRS Direct Pay, credit/debit card, or check. This is the fastest way to stop the levy process.
Installment Agreement
Apply for monthly payments. If approved, the IRS will stop the levy as long as you stay current with payments. Apply online or by calling the number on your notice.
Offer in Compromise
Settle your debt for less than you owe if you qualify based on your ability to pay. Use [Form 656](/forms/656) to apply. This is a viable option if you can't pay the full amount and don't qualify for a payment plan. Learn more about [Offer in Compromise qualification](/offer-in-compromise).
Currently Not Collectible (CNC) Status
Request CNC status if you're experiencing financial hardship and can't afford any payment. Submit Form 433-F to prove hardship. CNC temporarily suspends collection, but interest and penalties continue to accrue.
A CDP hearing is your legal right to challenge the IRS's proposed levy before an independent appeals officer. You can dispute the amount owed, propose alternative collection methods (installment agreement, offer in compromise), or request Currently Not Collectible status. Filing Form 12153 within 30 days stops the levy until the hearing is resolved.
If you don't respond within 30 days, the IRS can begin levy action immediately. You lose your right to a CDP hearing that stops the levy. You can still request an Equivalent Hearing, but it won't stop the IRS from seizing your assets.
Yes. After the 30-day period expires, the IRS can levy your bank account without further notice. The bank will freeze your account and hold the funds for 21 days before sending them to the IRS.
The IRS can garnish a significant portion of your wages—often 70% or more of your take-home pay, depending on your filing status and number of dependents. The IRS uses Publication 1494 to calculate the exempt amount (the portion you're allowed to keep).
Yes, strongly consider it. CP90 is a serious legal matter with significant financial consequences. A tax attorney can represent you in a CDP hearing, negotiate with the IRS, and help you explore all available options to prevent asset seizure.