If you’ve received a CP504 Notice from the IRS, don’t ignore it — and don’t panic. It’s not a final levy yet, but it’s a clear sign that enforcement is coming soon.

At Summit Tax Relief, we help Oklahomans understand and respond to CP504 notices every day. Here's what this letter means, what happens if you ignore it, and how to stop IRS collections before they escalate.

What Is a CP504 Notice?

A CP504 is the IRS’s Notice of Intent to Levy — specifically warning that the IRS may seize your state tax refund to apply toward unpaid taxes. It’s also a sign that the IRS may begin more aggressive collection actions soon, such as bank levies or wage garnishments.

⚠️ Unlike the final notice (LT11 or Letter 1058), the CP504 does not provide the right to a Collection Due Process (CDP) hearing.

This letter is often sent after:

• Several prior notices (CP14, CP501, CP503)
• No response to balance due requests
• The IRS determines you’re not actively resolving the debt

Why CP504 Is So Serious

While it’s not the final notice before levy, the CP504 means the IRS has formally escalated your account. It also tells you that:

• They plan to levy your state tax refund
• A lien may be filed if you continue to ignore the balance
• The next letter is the final warning — and comes with full levy authority

This is your opportunity to take control before the IRS hits your bank account or paycheck.

What Does the CP504 Notice Include?

The CP504 generally outlines:

• The amount you owe (tax, penalties, and interest)
• The tax year(s) in question
• A warning that the IRS may levy your assets (starting with your state refund)
• A phone number and deadline to respond

It’s important to note: CP504 does not include CDP rights. That comes only with the LT11 or Letter 1058.

How to Respond to CP504 in Oklahoma

At Summit Tax Relief, we help clients take control immediately. Here’s what we recommend:

1. Don’t Call the IRS Yourself

The IRS may ask questions that lock you into a bad payment plan or compromise your resolution options. Always speak with a professional first.

2. File Power of Attorney (POA)

We file Form 2848 so we can represent you directly with the IRS and request account holds or other protections.

3. Get a Hold Placed on Enforcement

We request a temporary pause so we can analyze your financials and build a resolution.

4. Submit a Resolution

Based on your eligibility, we’ll pursue:

• Installment Agreement (IA)
• Offer in Compromise (OIC)
• Currently Not Collectible (CNC)
• Or prepare for a CDP hearing, if the LT11 arrives

Why You Should Act Before the Final Notice

If you ignore the CP504, the IRS will usually send LT11 or Letter 1058 next — which does give them legal authority to issue a levy after 30 days.

Acting after CP504 — but before LT11 — gives you the most control and avoids escalated enforcement.

Why Work With Summit Tax Relief?

• Based in Oklahoma
• CPA-led, not a call center
• We handle $25,000+ IRS or OTC tax debt cases only
• Flat-fee pricing — no hourly surprises
• We act fast — often same-day contact with the IRS

Related Blog Posts (Internal Links)

• LT11 Notice from the IRS – What Oklahoma Taxpayers Need to Know
• IRS Bank Levy in Oklahoma: What You Need to Know
• IRS Wage Garnishment in Oklahoma: What You Need to Know Now
• Offer in Compromise: How It Works for Oklahoma Taxpayers

Get Help Now

If you received a CP504 letter in the mail, you still have time to fix this — but not much.

Call Summit Tax Relief at (833) 477-4911

Schedule Your Free Strategy Call

FAQ

Q: What does CP504 mean exactly?
A: It’s a Notice of Intent to Levy — starting with your state tax refund — and a warning that broader enforcement may follow.

Q: Can I stop IRS collections after CP504?
A: Yes — but it requires fast action and a valid resolution strategy.

Q: Will this become a bank levy or wage garnishment?
A: Often yes — if the next notice (LT11) is sent and ignored.

Q: Does CP504 include CDP hearing rights?
A: No — CDP rights only apply to LT11 or Letter 1058.

📣 About the Author

Marc Boulanger, CPA is the founder of Summit Tax Relief LLC, based in Oklahoma City, OK.

With over a decade of experience helping individuals and businesses resolve serious IRS and State tax issues, Marc specializes in tax resolution strategies including Offers in Compromise, wage garnishment relief, and back tax compliance.

He is licensed as a Certified Public Accountant in both Oklahoma and California, and has a proven track record of helping clients settle complex tax debts and regain financial stability.

📍 Learn more at www.summittaxrelief.com or call (833) 477-4911.