IRS CP90 and CP297: Final notice of intent to levy

A CP90, Final Notice — Notice of Intent to Seize Your Assets and Notice of Your Right to a Hearing, tells you the IRS intends to levy your property because a balance remains unpaid. It's commonly connected to the Federal Payment Levy Program (FPLP), which lets the IRS take part of federal payments such as Social Security benefits, federal salaries and retirement, and payments to federal contractors — up to 15% of Social Security benefits, for example.

CP90 is one of the notices that satisfies the IRS's legal duty to warn you and offer a hearing before levying (IRC 6330). It sits at the same point in the collection sequence as LT11 and Letter 1058. A CP504 usually comes before it but does not carry these rights.

CP297 is a related notice used when the IRS levies certain federal payments. Some versions tell you a levy has been or will be made on federal payments and explain your right to a Collection Due Process hearing; others are sent to federal contractors and employees where the IRS can levy first and offer a hearing afterward. Read the notice itself for the exact deadline, and treat any CP297 as time-sensitive.

30 days from the notice date to request a Collection Due Process hearing on Form 12153. A timely request generally pauses levy action for the periods covered while the hearing is pending. If you miss the window, you can still ask for an equivalent hearing within one year, but levies aren't automatically suspended and there's no Tax Court review.

Confirm the balance and the notice in your IRS Online Account or on an account transcript. Call only numbers listed on IRS.gov. The IRS never asks for payment with gift cards, prepaid debit cards or cryptocurrency, and it doesn't threaten immediate arrest.

1. Check the balance and periods listed against your transcript.
2. Choose a resolution: payment plan, Currently Not Collectible, Offer in Compromise, or a dispute of the liability if you never had a chance to challenge it.
3. File Form 12153 within 30 days and check the alternatives you want.
4. Prepare financial information (Form 433-A or 433-F) — Appeals will need it to approve an alternative.
5. If you receive Social Security, explain any hardship: the IRS can release an FPLP levy if it causes economic hardship. See Social Security levy.

In the hearing you can raise collection alternatives, whether the IRS followed proper procedure, whether the levy is appropriate, and — if you didn't receive a notice of deficiency or otherwise have a chance to dispute it — the underlying tax. Appeals' determination after a timely CDP hearing can generally be reviewed by the U.S. Tax Court. Details are in collection due process hearings.

If you owe $50,000 or less you can usually still set up an online payment plan, which generally stops new levies. Retirees and others on fixed income often qualify for Currently Not Collectible status if the levy would prevent paying basic expenses. Larger balances need a financial statement — see installment agreement eligibility. The calculator on this page shows which options are a likely fit.

The most expensive mistake is letting the 30-day window pass while you gather paperwork. You can file Form 12153 first and send financial details later when Appeals asks for them. Another common mistake is assuming Social Security is untouchable — it isn't, though the IRS will release an FPLP levy that causes economic hardship once you document it. People also sometimes pay a tax relief company a large upfront fee and wait for them to act; check the red flags and make sure Form 12153 is actually filed on time. Finally, don't overlook new balances: if you owe for the current year too, an agreement on older years can default quickly. Keep current-year withholding or estimated payments up while you resolve the older balance.