IRS notice LT11 / Letter 1058
LT11 and Letter 1058: final notice of intent to levy
An LT11 or Letter 1058 means the IRS has not received payment of overdue taxes and intends to seize your property or rights to property. It also gives you the right to a Collection Due Process hearing, and the IRS asks you to contact it immediately.
Your right to a hearing, and the 30 days
The IRS’s Collection Due Process FAQs give you 30 days from receipt of an LT11 or Letter 1058 to request a Collection Due Process hearing, using Form 12153, if you think the levy is inappropriate. A hearing lets you appeal the proposed levy before Appeals, which, to consider alternatives such as a payment arrangement, will also want a financial statement, Form 433-A for individuals and Form 433-B for businesses.
Follow the letter’s instructions for requesting the hearing, and do not leave it to the end of the 30 days.
What to do
Pay the balance in full if you can: that stops further interest and penalties. If you cannot, pay what you can now, which reduces what is added later, and if you are current on your tax filings, request an installment agreement for the rest. If you owe less than $50,000, the IRS’s Online Payment Agreement tool is its fastest route; otherwise call the number on the letter or mail an installment agreement request.
If you already paid, or think a payment was not credited, send proof of payment to the address at the top of the letter.
What happens if you do not act
The IRS can levy your wages or bank accounts up to the amount owed, and may file a Notice of Federal Tax Lien. Property it can levy includes wages and other income, bank accounts, business assets, personal assets including your car and home, Alaska Permanent Fund Dividends, state tax refunds and Social Security benefits.
Seriously delinquent tax debt can also lead the State Department to deny or revoke your passport under the FAST Act.
Returns to file before you can set up a plan?
The IRS generally wants every required return filed before it agrees to a long-term payment plan, and a notice can be the first sign that a year is missing. USTAXX prepares current and past-due returns, one year at a time, so the account is complete. We are an IRS Authorized e-file provider and work with clients remotely through a secure portal, by phone or video, and in person at our office in Naperville, IL.
Questions people ask
How long do I have after an LT11 or Letter 1058?
The IRS’s Collection Due Process FAQs give you 30 days from receipt to request a hearing with Form 12153. Follow the letter’s instructions and do not wait for the last day.
What is a Collection Due Process hearing?
A hearing with the IRS Independent Office of Appeals, where you can appeal the proposed levy and raise other issues, such as alternatives to collection.
Can I still set up a payment plan?
Yes, if you are current on your tax filings. If you owe less than $50,000, the Online Payment Agreement tool is the fastest way; otherwise call or mail a request.
What can the IRS levy?
Wages and other income, bank accounts, business assets, personal assets including your car and home, Alaska Permanent Fund Dividends, state tax refunds and Social Security benefits.
Where these rules come from
- IRS: Understanding your LT11 notice or letter 1058
- IRS: Collection Due Process (CDP) FAQs
- IRS: Form 12153, Request for a Collection Due Process or Equivalent Hearing
- IRS: Publication 1660, Collection Appeal Rights
- IRS: Publication 594, The IRS Collection Process
General information, current when written, not advice about your situation. Fees and forms change; the official pages above are the authority.