IRS Notice CP90: What It Means and What to Do

Why did I get a CP90?

Common reasons include:

• Earlier balance-due notices went unpaid or unanswered
• The IRS's Federal Payment Levy Program matched you to a federal payment it may levy
• No payment plan or other arrangement is in place
• A previous payment arrangement was not kept

What should I do?

1. Read the notice carefully. It explains the IRS's planned action and the date by which you must request a hearing.
2. Pay what you owe if you can, online or by mail with the payment stub.
3. If you can't pay in full, request a payment plan by calling the number on your notice or applying online.
4. If you already paid in full or think a payment wasn't credited, send proof of payment.
5. If you disagree or want Appeals to review, file Form 12153 by the date on the notice.
6. Submit supporting documents through the IRS Documentation Upload Tool with the access code on your notice, or mail them to the address on the notice.

What documents do I need?

• The CP90 notice
• Form 12153, if you plan to request a hearing
• Proof of any payments made
• Income and expense information, in case you need a payment plan or hardship consideration
• Form 2848, if you want a representative such as an accountant to contact the IRS for you

What should I avoid?

• Don't let the hearing deadline pass if you want Appeals review with the option of Tax Court.
• Don't ignore it if you can't pay. The IRS says unpaid debt may also affect your ability to get or renew a U.S. passport.
• Don't assume a lien can't be filed. The IRS says it can file a Notice of Federal Tax Lien at any time if it hasn't already.

What if I disagree with a CP90?

Request a Collection Due Process (CDP) hearing by filing Form 12153, Request for a Collection Due Process or Equivalent Hearing, by the date on your notice (30 days from the notice date). Include your reasons, and upload documents with the Documentation Upload Tool or mail them to the address on the notice. The IRS sample CP90 says that if you don't file Form 12153 by that date, you lose the ability to contest Appeals' decision in U.S. Tax Court. After a timely hearing, you have 30 days after Appeals' determination to go to Tax Court. A late request can still get an equivalent hearing within one year of the notice date, but without court review. The Collection Appeals Program (Form 9423) is also available but has no court review.

What happens if I ignore a CP90?

The IRS may levy (seize) your property, including federal payments owed to you, on or after the date on the notice. It may also file a Notice of Federal Tax Lien, which can hurt your credit. Seriously delinquent tax debt may lead to passport denial or revocation.

What else should I know about CP90?

CP90 is the Collection Due Process notice sent automatically through the IRS's Federal Payment Levy Program, which levies federal payments such as certain federal salaries, contractor payments and benefits. Legally it is the same final notice as an LT11 or Letter 1058. The IRS internal manual says CP90 is mailed certified with a return receipt and that levies on federal payments other than Social Security are generally sent at least 10 weeks after the notice if no hearing is requested. If you receive Social Security, a separate CP91 notice about levying up to 15% of your benefits may follow. Filing Form 12153 on time, at the CP90 stage, is what keeps both CDP protection and Tax Court review.