IRS Notice CP504: notice of intent to levy

A CP504 comes when a balance stays unpaid after earlier notices. The IRS warns it will apply your tax refunds, including state refunds, to the debt and may move to collection.

What it means

It isn't the final notice yet, but it's close. After a CP504 the IRS can take your state tax refund. Next usually comes LT11 or Letter 1058, the final notice before a bank levy or wage garnishment.

What to do now

1. Check the amount. If it's wrong, call the number on the notice before the date shown.
2. If it's right, pay in full or set up a payment plan. A plan stops collection while you keep to it.
3. Make sure all past returns are filed. Payment plans are usually not approved without that.