This guide explains what LT11 and CP297 mean, how they differ from earlier notices, which deadline matters, and what individuals and business owners should do next. Outcomes depend on the exact notice and your account facts, so treat this as general information, not legal advice.
Key Takeaways
- Identify the notice number, notice date, tax periods, balance, and printed deadline first.
- LT11 and CP297 both carry hearing rights, but CP504 is a different notice.
- Options include fixing errors, filing returns, requesting a hearing, or setting up payment.
- Don't wait for the deadline, and never pay through odd links or gift cards.
What Do IRS LT11 and CP297 Notices Mean?
Levy vs. lien
A levy is the legal seizure of property to satisfy unpaid tax, according to IRS Publication 594. A federal tax lien is different: it's the government's legal claim against your current and future property, not the immediate taking of it.
What the notices say
The IRS describes LT11 and Letter 1058 as notices that overdue taxes remain unpaid and that it intends to seize property or rights to property. Listed examples include:
- Wages
- Bank accounts
- Business and personal assets
- State refunds
- Social Security payments
Both carry appeal and Collection Due Process (CDP) rights.
CP297 is titled "Final Notice, Notice of Intent to Levy and Notice of Your Right to a Collection Due Process Hearing." The IRS says it hasn't received full payment despite earlier notices and intends to levy "certain assets."
Its public description does not specify taxpayer type, tax form, or assets. Don't assume it's only a business or payroll-tax notice.
Anatomy of the notice
Look for these items on the first page:
- Notice number and notice date
- Taxpayer name and identification details
- Tax periods and balance, including penalties and interest
- Response deadline
- Hearing instructions and the mailing address for a request
- IRS contact information
What can be levied
Depending on the notice and your situation, the IRS may go after:
- Wages
- Bank funds
- Federal payments
- Accounts receivable
- Vehicles
- Real property
Different assets follow different procedures. IRC 6334 and Publication 594 list exempt property, and a principal residence has added limits.
An annotated sample of an official notice, with personal details removed, helps you spot final-notice language. Compare it against your own letter rather than relying on the illustration.
Where LT11 and CP297 Fit in the IRS Collection Process
A typical sequence, described in an IRS 2024 National Tax Forum guide, runs like this:
- CP14 or CP161 notice and demand
- CP501 reminder
- CP503 second balance-due notice
- CP504 final balance-due notice
- LT11 or Letter 1058 with hearing rights
Not every case gets every notice in that order. CP90 and CP297 are alternative final CDP notices that can appear in place of LT11 or Letter 1058.
CP504 vs. the final CDP notices
CP504 is a Section 6331(d) notice of intent to levy. It can lead to a levy on a state income-tax refund, and you can challenge it through the Collection Appeals Program (CAP). LT11/1058, CP90, and CP297 are the notices that grant CDP hearing rights. Don't treat CP504 as interchangeable with them.
Your notice controls
The printed deadline, mailing instructions, and taxpayer-specific language govern your response. Pub. 1660 generally ties a timely CDP request to the 30th day after the notice date. IRS FAQs phrase it as 30 days "from receipt." Follow the date printed on your notice, and don't substitute your own reading.
What to Do Within the Notice Deadline
Preserve and verify
- Keep the notice and envelope, scan every page, and record the date and deadline.
- Compare the notice number against the IRS notice directory.
- Check that your name and account details are accurate.
- Reach the IRS through IRS.gov or an official contact method, not links, QR codes, or numbers in a suspicious message.
The IRS says it doesn't leave urgent or threatening messages and won't demand payment by gift card or prepaid card. It generally mails a bill first.
Check the balance
Pull account transcripts. They're generally available for the current year and nine prior years. Reconcile them against filed returns, payment confirmations, prior IRS letters, and address changes.
Watch for problems such as:
- Misapplied payments
- Duplicate assessments
- Missing returns
- Years you don't recognize
If you didn't file, the IRS may have prepared a substitute return. It omits the standard deduction and allows only one exemption, which can inflate the bill.
Missing returns and current compliance may need fixing before the IRS considers alternatives. Don't rush inaccurate returns or incomplete financial information to beat a deadline.
Request a hearing if it applies
Form 12153 is the Collection Due Process hearing request. Send it to the hearing-request address, not the payment address, with a copy of the notice. A timely request must meet the deadline on the notice.
If you miss it, you can generally still request an equivalent hearing within one year of the notice date. It doesn't carry the same statutory levy hold.
Document checklist
- The notice and IRS transcripts
- Recent tax returns and payment records
- Income information
- Bank and investment statements
- Asset records, monthly expenses, and debts
- Business books and payroll records
- Evidence for any dispute or hardship claim
Ways to Stop or Resolve the Levy Threat
Installment agreements
If you can't pay in full, a payment plan may fit. The IRS lists a $29 online setup fee and $107 by phone, mail, or in person, with a fee waiver for low-income applicants. Check current fees before applying.
Under IRC 6331(k), the IRS generally may not levy while a request is pending, while an agreement is in effect, or for 30 days after rejection. Pick a payment you can sustain, especially with irregular self-employment income, and stay current on future filings and payments to avoid default.
Hardship and currently-not-collectible status
Currently not collectible (CNC) status can temporarily pause most collection when payments would keep you from covering basic living or operating expenses. The debt doesn't go away. Interest and penalties continue, and the IRS may ask for a detailed financial statement and review the account later.
Offer in compromise
Form 656-B identifies doubt as to collectibility, doubt as to liability, and effective tax administration as grounds. The application fee is $205, with a low-income exception. Required returns and estimated payments must be current.
It isn't a discount program. The IRS generally won't accept an offer if it believes you can pay in full or through a payment agreement.
Penalty relief and liability disputes
- First-time abatement depends on a clean three-year filing and penalty history.
- Reasonable-cause relief depends on facts and responsible conduct.
- Innocent spouse relief (Form 8857) covers three types: innocent spouse, separation of liability, and equitable relief.
- Audit reconsideration may allow abatement of assessed tax, but don't assume it halts a levy.
Disputing penalties isn't the same as disputing the tax. In a CDP hearing you can propose a collection alternative, but challenging the underlying liability is allowed only if you didn't receive a deficiency notice or otherwise have an earlier chance to dispute it.
Business-owner considerations
Businesses face added risks:
- Unpaid employment taxes and missing payroll filings
- Accounts-receivable levies
- Disrupted payroll or vendor payments
Responsible individuals can face personal exposure through the Trust Fund Recovery Penalty when trust-fund taxes go unpaid. Business notices such as CP504B follow their own rules, so don't generalize from individual tax debt.
When to get professional help
Get help sooner if you face any of these:
- Multiple unfiled years or a disputed balance
- An active bank or wage levy
- Payroll tax debt
- Complex assets or thin records
- An approaching CDP deadline
JFT Group provides tax, bookkeeping, accounting, and IRS problem-resolution support for clients nationwide. It can help you organize records, spot compliance issues, and evaluate a response.
One JFT Group client faced a $210,000 levy during a 2016-2018 audit with no set of books, and the work started with rebuilding records. JFT Group isn't a law firm and can't promise a levy release. Legal questions belong with a qualified attorney.
What Happens If You Ignore the Notice and When to Get Help
Inaction can lead to refund or federal-payment offsets, wage or bank levies, levies on benefit or retirement payments, accounts-receivable collection, asset action, or escalation to a revenue officer. Timing and scope differ by notice, so read yours closely.
The IRS requested 313,792 levies on third parties in fiscal 2025, according to the IRS Data Book. That counts requests, not completed seizures.
Wage levies generally continue until released, not for one paycheck.
For individuals and businesses, the practical effects include:
- Lost access to operating funds
- Missed payroll or bills
- Cash-flow strain
- Harder financing
- Added collection costs
If you can't afford help, the Taxpayer Advocate Service and low-income taxpayer clinics may assist.
Stay calm and move in order: review the exact notice, protect any hearing rights, gather records, and get qualified help quickly. If you need accounting, tax-compliance, or IRS problem-resolution support, contact JFT Group, which serves clients in all 50 states.
Frequently Asked Questions
How to stop intent to levy?
Verify the notice and deadline first. Then consider correcting the account, filing missing returns, requesting a CDP hearing if it applies, arranging payment, or presenting a documented hardship or other remedy.
What comes after notice of intent to levy?
It depends on the notice and your response. The next step may be IRS Appeals, a payment arrangement, or a hardship review. If you do nothing, enforced collection can follow.
How much can the IRS garnish?
IRS wage levies follow federal rules, not ordinary creditor garnishment formulas. Exempt pay depends on filing status, dependents, and pay period, so check Publication 1494 and your levy paperwork.
What does it mean when the IRS says intent to levy?
It's a warning that the IRS may seize certain property or payment rights to collect unpaid tax. Its exact authority depends on the notice and on whether you respond.
How to spot a fake IRS notice?
Check the notice number against the IRS directory and confirm your details are accurate. Verify through IRS.gov. Red flags include threats, gift-card demands, suspicious links, and requests for confidential information.
Will the IRS forgive late filing penalties?
Sometimes. Relief may be available through first-time abatement or reasonable cause. Eligibility depends on the penalty, tax period, compliance history, and your documentation.
