IRS Notice CP 504 - Final Notice - Balance Due
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This is the final notice that you have a balance due on a tax account.

The IRS has previously sent the taxpayer notices about a balance due on a tax account. This urgent notice alerts you that there is an outstanding balance and the IRS intends to levy or take your state tax refunds.

Sections of the Notice:

  • Header Section
    This area contains the Notice Number, the applicable tax year, the notice date, your Social Security Number and the IRS contact number.
  • Explanation Section
    This section of the notice will show the balance due for the tax period, which tax form was submitted, and the break down of any penalties and interest included in the balance. The notice will direct you to contact the IRS at the number listed in the header section if you do not agree.
  • Response Section
    The appropriate responses to the notice are: (1) to pay the balance due, or if that is not possible, (2) contact the IRS at the phone number at the top of the notice to determine if an installment agreement can be made. If you don’t pay or arrange an installment agreement the IRS may file a levy against any state tax refunds.
    The notice will have a coupon at the bottom or end of the notice to include with your payment.
    If you don’t agree with the notice, call the number at the top of the notice to notify the IRS.
  • Penalties Section
    This section provides a break-down of the types and amounts of interest and/or penalties being assessed.

 

Sample CP 504: