Collection Appeal Rights

As a taxpayer, you are entitled to know whatto any levy action during the 30 days after the levy
Collection Appeal Rights you have with the Internalaction or the CDP hearing. If you make a timely
Revenue Service (IRS). There are some proceduresrequest for a CDP hearing, the 10-year period that the
with the help of which you can appeal against IRSIRS has to collect the taxes will be suspended, until you
collections action. The two main procedures you canrequest to withdraw your hearing in writing or the
use to contest collections initiated by the IRS are:hearing is completed.
Collection Due Process (CDP): You are entitled toHow to Appeal against the Termination of an
initiate a CDP procedure if you receive one of theInstallment Agreement
following notices:Call the person or entity whose telephone number
* Notice of Federal Tax Lien filing and your Right towas mentioned on the termination notice, and explain
Hearing under IRC 6320that you want to appeal against the termination. Your
* Final notice of your Intent to Levy and notice of yourappeal need not be in writing, unless the notice is sent
Right to Hearingby a Revenue Officer, in which case you need to
* Notice of Jeopardy Levy and Right of Appealrequest for an appeal using Form 9423. You will have
* Notice of Levy on your State Tax refund76 days from the day of the notice to file your appeal.
Collection Appeals Program (CAP): You are entitled toUnless you appeal within 30 days from the date of the
initiate a CAP procedure for the following actions:notice, the installment agreement will terminate
* Before or after the IRS files a Notice of Federal Taxautomatically on the 46th day. After the 46th day, your
Lienright to appeal will continue for 30 more days. Your
* Before or after the IRS levies or seizes your assetsrequest for an appeal must be made on or before the
* Termination of an Installment Agreement (IA)76th day after the date of the notice of intent to
* Rejection of an Installment Agreementterminate the installment agreement. You are entitled
You may represent yourself or enlist the services ofto file only a solitary appeal within the 76 day period.
an Attorney, CPA or Enrolled Agent at the CDP, CAPHow to Appeal against the Rejection of an Installment
and other Appeals proceedings. If you want aAgreement
representative to appear on your behalf, you must fileCall the person or entity whose telephone number
Form 2848 - "Power of Attorney and Declaration ofwas shown on the termination notice, and explain that
Representative." You may also authorize an individual,you want to appeal against the termination. Your
Attorney, CPA or Enrolled Agent to receive or inspectappeal need not be in writing, unless the notice is sent
confidential material but not represent you before theby a Revenue Officer, in which case you need to
IRS, by filing Form 8821 - "Tax Informationrequest for an appeal using Form 9423. You must
Authorization."appeal against the rejection of your installment
How to Request a CDPagreement on or before the 30th day after the date
You must fill out Form 12153 - "Request for aof the notice of rejection.
Collection Due Process or Equivalent Hearing" andYou can also appeal against other collection actions
send it to the address displayed on your levy or lienlike the rejection of Offer in Compromise, Trust Fund
notice. If you have received both a lien and a levyrecovery penalties, and denial of request to suspend
notice, you may appeal against both actions bypenalties.
checking the boxes in line 5 on the form. You mustEnrolled Agents
also identify the alternatives to the lien or levy action.Would you like to become an Enrolled Agent? To
Possible alternatives may include:become an Enrolled Agent an individual must pass the
* An Installment Agreement, Offer in Compromise orSpecial Enrollment Examination, also referred to as the
Currently Not Collectible StatusEA Exam. The Special Enrollment Examination is a
* Discharge of lienthree-part exam administered by the IRS. The exam
* Withdrawal of Notice of Federal Tax Liencovers all areas of tax preparation including IRS
After you request a CDP hearing, your case will beCircular 230.
forwarded to Appeals. Appeals will schedule aBefore taking the Special Enrollment Examination you
conference with you in person, on the telephone or byshould prepare by getting an Enrolled Agent study
written communication. Unless the IRS believes that theguide or taking an Enrolled Agent review course.
collection of taxes is in jeopardy, you are not subject