Receiving a notice or letter from the IRS regarding overdue taxes can be a worrisome experience. The LT11 Notice or Letter 1058 indicates that the IRS has not received your payment and intends to take action to seize your property or rights to property. It is essential to address this notice promptly and take the necessary steps to resolve the outstanding tax balance. In this blog post, we will provide you with important information about the LT11 notice, explain what you need to do, and offer valuable tips to help you navigate this situation effectively.
LT11 Notice or Letter 1058: Understanding the Purpose
The LT11 notice or Letter 1058 is a communication from the IRS notifying you that your payment for overdue taxes has not been received. It serves as a warning that the IRS intends to seize your property or rights to property unless immediate action is taken. Ignoring this notice can lead to severe consequences, including the loss of your assets. It is crucial to address the situation promptly and communicate with the IRS.
What You Need to Do: Steps to Resolve the Issue
To address the outstanding balance indicated in the notice or letter, follow these essential steps:
1. Paying your unpaid balance
Paying your balance in full is the most effective way to stop the accrual of interest and applicable penalties. You can conveniently pay your balance online through the IRS website. To determine the exact amount you owe, refer to the instructions in the notice or letter. If you cannot pay the full amount, make a partial payment now. Even partial payments can help reduce the amount of interest and penalties added to the remaining balance.
2. Request an installment agreement
If you are unable to pay the full balance, you can request an installment agreement to pay the remaining balance over time. If you owe less than $50,000, the fastest way to set up an installment agreement is by using the Online Payment Agreement tool available on the IRS website. For those unable to apply online, contact the phone number provided on the notice or letter or submit an installment agreement request by mail.
3. Submit proof of payment
If you have already paid the balance in full or believe that a payment has not been properly credited to your account, it is essential to provide proof of payment to the IRS. Send the necessary documentation to the address specified at the top of the notice or letter. This will help resolve any discrepancies and ensure that your account reflects the correct payment status.
4. Contact the IRS if unable to pay
If you are unable to pay the balance due, it is crucial to contact the telephone number provided on the notice or letter. Communicating with the IRS allows you to discuss your financial situation and explore possible alternatives. The IRS may offer options such as an installment agreement or temporary hardship suspension of collection activity.
By following these steps, you can take proactive measures to address the outstanding balance and work towards resolving the issue with the IRS.
Tips to Streamline the Process
To make your experience in handling an LT11 Notice or Letter 1058 from the IRS more efficient and effective, consider the following tips:
- Utilize the Online Payment Agreement tool: For balances under $50,000, take advantage of the Online Payment Agreement tool on the IRS website. It is the quickest and most efficient way to set up an installment agreement.
- Keep thorough records: Maintain detailed records of your payments, including receipts, transaction confirmations, or bank statements. These records will serve as evidence in case of any discrepancies.
- Act promptly: Respond to the LT11 notice or Letter 1058 without delay. Ignoring the notice may result in more severe consequences and additional penalties.
- Seek professional assistance: If you encounter challenges or need guidance throughout the process, consider reaching out to Priority Tax Relief, your trusted tax service provider. Their expertise and experience can help you navigate the complexities of dealing with the IRS and protect your financial interests.
By following these tips, you can streamline the process and ensure a smoother resolution of your tax obligations.
Protect Your Assets: Resolving an LT11 Notice or Letter 1058 from the IRS with Priority Tax Relief
Receiving an LT11 Notice or Letter 1058 from the IRS demands immediate attention. It indicates an unpaid tax balance and the potential for property seizure. Paying the balance in full or establishing an installment agreement are crucial steps to prevent further penalties. Remember to submit proof of payment if applicable and communicate with the IRS if you are unable to pay. Priority Tax Relief, a trusted tax service provider, is here to assist you every step of the way. Prioritizing prompt action will help protect your assets and maintain compliance with tax obligations.
Frequently Asked Questions: LT11 Notice or Letter 1058 from the IRS
What is an LT11 Notice?
An LT11 Notice, also known as a "Final Notice of Intent to Levy and Notice of Your Right to a Hearing," is a letter sent by the IRS informing taxpayers of their intent to seize assets, such as wages, bank accounts, or other property, due to unpaid taxes. This notice is a serious warning and provides the taxpayer with the right to request a hearing.
Why did I receive an LT11 Notice?
You received an LT11 Notice because you have unpaid tax debt, and the IRS has not received payment or a response to previous notices. The LT11 is the final warning before the IRS starts seizing your assets.
What should I do if I receive an LT11 Notice?
If you receive an LT11 Notice, you should take immediate action. You can pay the outstanding amount, contact the IRS to discuss payment options, or request a Collection Due Process (CDP) hearing within 30 days to challenge the proposed levy or negotiate a resolution.
How can I avoid the IRS levy mentioned in the LT11 Notice?
To avoid the levy, you must respond to the notice promptly by paying the debt in full, setting up a payment plan, submitting an Offer in Compromise, or requesting a CDP hearing to dispute or negotiate the terms.
What happens if I ignore the LT11 Notice?
Ignoring the LT11 Notice can result in the IRS levying your assets, such as wages, bank accounts, social security benefits, or even personal property. The IRS will proceed with the levy if you do not respond within the specified time frame.
Can I stop the IRS from levying my assets once an LT11 Notice is issued?
Yes, you can stop the levy by responding to the notice within 30 days, paying the debt, negotiating an installment agreement, or requesting a hearing. Taking action quickly can help you avoid further enforcement actions.
