Why Is My Installment Agreement being Terminated; IRS Just Sent Me CP-523.

The IRS goes through a series of notices regarding Installment Agreement, from Cold (barely on the radar) to Smoldering Hot (requires immediate attention). Check out the links to learn more:

Form 9465 Installment Agreement Request – Not too scary (Cold).
Form 433D – Installment Agreement- Direct Debit Payment Authorization– Still pretty cool (Getting warmer).
Letter 2273C- Installment Agreement Acceptance. Warm, this is a good thing
CP 89- Annual Installment Agreement Statement – Statement of payments made. Good, this means your Installment Agreement is in good standing
Letter 2272C- Installment Agreement Cannot Be Considered. Smoldering hot—act now or lose your due process rights (your right to a hearing, reinstatement of the Installment Agreement and to stop collections)
CP 522- We’re Reviewing Your Installment Agreement– Smoldering hot- This likely means that the IRS believes that your monthly payment should increase. You absolutely must respond.
CP 523 – Intent to Terminate Your Installment Agreement and Seize (Levy) Your Assets– Red hot- The IRS will terminate you Installment Agreement unless you do something- act now or lose your due process rights (your right to a hearing, reinstatement of the Installment Agreement and to stop collections)

This notice is CP 523 – Intent to Terminate Your Installment Agreement and Seize (Levy Your Assets. Generally, the IRS sends this notice when payments have stopped or due to a lack of response to a CP 522- We’re Reviewing Your Installment Agreement. It is the seventh notice/form in the Installment Agreement series.

What can I expect because of this notice?

CP 523 is used to inform the taxpayer(s) is in default of an Installment Agreement. The IRS uses CP 523 to announce the IRS’ intent to terminate the Installment Agreement and Seize (Levy) your assets unless the taxpayer takes action within 30 days To respond to a CP523 notice, taxpayers should send a payment by the stated due date. If the person wants to ask a question or inquire about other options, such as reinstating the installment agreement, he or she can do so by calling the given contact phone number. If you cannot continue the payment plan as originally agreed, you may want to seek representation by a Certified Tax Resolution Specialist.

What can I expect next after this notice?

There are three outcomes from the CP 523 notice:

Your Installment Agreement is reinstated at the original amount
Your Installment Agreement is increased or decreased
IRS moves to collection as a result of inaction.

What are my options?

What is my first step?

If you received a letter or notice, a decision must be made. Do you feel confident to handle this situation on your own? If it is a simple issue and you already know the answer, call, or write them. If the issue is more complicated, you need to hire a Certified Tax Resolution Specialist. The IRS or State will take full advantage of your lack of knowledge and experience.

What is Your Next Step?

The next step is to determine if the notice was sent in error. Do you have an outstanding tax liability? Do you have unfiled or incomplete returns?

Is There a Time Limit?

Yes! Each letter or notice from the IRS or State will indicate a date that you MUST contact them by. If you need more time, call the number on the notice or letter, and request an extension. DO NOT ALLOW the time to expire without contacting them or hiring a representative to contact them for you.

What You Don’t Want to Do!

What you don’t want to do is nothing. Your tax problems will only get worse if you ignore them. If you cannot pay, there are a number of potential solutions available to those who are otherwise in compliance. In compliance means having all tax returns filed and any balances paid or on a payment plan. If you have outstanding debts or unfiled returns, you need to get hire a Certified Tax Resolution Specialist.

Get Some Help

If you don’t know how to address the issue(s), have unfiled returns/unpaid balances or just don’t feel confident, let the experts at Legacy Tax & Resolution Services represent you. Work with our team of Certified Tax Resolution Specialists to resolve your issue(s) quickly. Best of all, you don’t have to talk to the IRS or State; we can speak on your behalf.

Stop the stress and resolve your problems Call 800-829-7483 TODAY