What Collection Appeal Rights do taxpayers have with the Internal Revenue Service (IRS)? There are many IRS collection actions that the taxpayer can appeal. There are two main procedures available to taxpayers to contest collection actions by the IRS:
1. Collection Due Process (CDP).
The CDP is available for taxpayers who receive one of the following notices:
- Notice of Federal Tax Lien Filing and Your Right to a Hearing Under IRC 6320 (Lien Notice);
- Final Notice – Notice of Intent to Levy and Notice of Your Right to a Hearing;
- Notice of Jeopardy Levy and Right of Appeal;
- Notice of Levy on Your State Refund; or,
- Notice of Your Right to a Hearing (Levy Notices).
2. Collection Appeal Process (CAP).
The CAP procedure is available under a broader set of circumstances than the
CDP hearing procedure. The main difference between the CAP and CDP hearing is that if a taxpayer does not agree with
the CAP decision the taxpayer cannot proceed to court. The following additional collection actions can be heard under a
- Notice of Federal Tax Lien. A taxpayer may appeal before or after the IRS files a lien;
- Notice of Levy. A taxpayer may appeal before or after the IRS garnishes a taxpayer’s wages or levies a bank account or other property;
- Seizure of Property. A taxpayer may appeal before or after the IRS seizes property;
- Denial or Termination of an “Installment Agreement”:http://www.ronideutch.com/service.aspx?sID=3;
Taxpayers may represent themselves at CDP and CAP proceedings or a taxpayer may have an attorney or other person properly enrolled to practice before the Internal Revenue Service represent them. Representatives appearing on behalf of taxpayers must provide a properly completed Form 2848, Power of Attorney.
IRS Tax Relief
IRS Back Taxes
Bankruptcy and IRS Liabilites
What Is a Levy?