• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Paladini Law

A Tax Law Firm

CONTACT
866-384-7103
DON'T GET FOOLED BY "REDUCE YOUR TAX DEBT" ADS
  • About
    • Review Us
    • About Paladini Law, A Tax Law Firm
    • Brad Paladini
    • Tom Genzale
    • Shenetra Franklin
    • Hannah Farley
    • Justin Mallone
  • Practice Areas
    • IRS Audits
    • IRS Payment Plans
    • IRS Offer in Compromise
      • OIC Eligibility Calculator
      • Offer in Compromise Rejected—Your Next Steps
    • Payroll Taxes
    • Disclosure of Foreign Assets
    • NJ Tax Audits
    • NJ Residency Audits
    • NJ Installment Agreements
    • NJ Wage Garnishment
  • IRS Debt Forgiveness Forms
    • Form 433-A CIS
    • Form 433-B CIS
    • Form 433-D INSTALLMENT
    • Form 433-F CIS
    • Form 843 Abatement
  • IRS Notices & Letters
    • Notice CP39
    • Notice CP14
    • Notice LT38
    • Notice CP162
    • Notice CP187
    • Notice CP297
    • Notice CP503
    • Notice CP504
    • Notice CP504B
    • Notice CP515B
    • Notice CP523
    • Letter 1153
    • Letter 1058
    • IRS CP11 Notice
  • Success Stories
  • Blog
  • Contact

Have tax questions? Speak With Us Now
WE SERVE CLIENTS NATIONWIDE

Contact Paladini Law

Notice CP504B – What It Means & How to Respond

If you’re receiving a CP504B or CP504 notice, it means you have a past-due bill with the IRS. It also means the IRS has sent you letters before, and you haven’t been able to take care of the issue because either you can’t pay the balance due, dispute that it’s owed, or aren’t sure how to fix it.

But the Notice CP504 and CP504b letter shouldn’t be ignored. And it’s important to know you have legal rights you can utilize the prevent the IRS from taking money from you. You also have various procedural rights to enter into payment plans or possibly even settle the debt for something less.

What Does Notice CP504B Mean?

IRS Notice CP504B

By sending a CP504B notice, the IRS is one step away from satisfying the legal requirements to seize your personal assets, levy your bank account, and garnish your wages.  If the balance isn’t paid, the IRS will begin searching for assets to issue a levy on. The IRS may also file a Federal Tax Lien if a lien hasn’t already been filed. It is extremely difficult to borrow against or sell property with a lien in place. Moreover, depending on your line of work and professional licenses, a federal tax lien can be a huge headache.

Don’t Ignore the IRS: Doing Nothing Changes Nothing (and Actually Makes Things Worse)

If you fail to contact or pay the IRS within 30 days, the IRS will then send you a notice giving you a right to a hearing before the IRS Office of Appeals (if such a notice hasn’t already been received). This is one of the most important IRS notices you’ll ever receive. If you do not timely file an appeal, the IRS will then proceed to seize your property or the rights to your property. Property that can be levied or seized includes:

  • Wages and other income
  • Bank accounts
  • Business assets
  • Personal assets (including your car and home)
  • State tax refund
  • Social security benefits.

Responding to Notice CP504B

It’s important to speak with a knowledgeable tax attorney before responding to the IRS. An attorney can correspond with the IRS and help you develop a strategy to avoid aggravating the situation. The first step in responding to Notice CP504B is to contact the IRS and appease collections to prevent levies.

The next step in the process will be obtaining the IRS account transcripts. If you agree that you owe what the IRS says you do, your attorney can help you devise a plan to reduce or mitigate the tax. Often, the amount owed is disputed. Depending on the situation, you may be able to file amended returns to reduce the amount owed along with a penalty abatement request.

Speak with A New Jersey IRS Tax Attorney

If you’ve received Notice CP504B and have questions or would like legal advice, contact Paladini Law by calling (201) 381-4472 or schedule your free consultation now. Attorney Brad Paladini has helped taxpayers across New Jersey and the country avoid penalties and save thousands. Attorney Paladini can review your case, help you determine if hiring an attorney makes sense, and plot a course of action to resolve your tax issue.

Primary Sidebar

Have Tax Questions? Speak With Us Now

WE SERVE CLIENTS NATIONWIDE

CONTACT

Working with Paladini Law

TAX ISSUE RESOLUTION

SERVING ALL 50 STATES

Client Reviews

Practice Areas

  • IRS Audits
  • IRS Audits
  • IRS Payment Plans
  • IRS Payment Plans
  • IRS Offer in Compromise
  • IRS Offer in Compromise
  • IRS Installment Agreements
  • IRS Installment Agreements
  • Disclosure of Foreign Assets & International Tax Matters
  • Disclosure of Foreign Assets & International Tax Matters
  • New Jersey State Tax Audits
  • New Jersey State Tax Audits
  • IRS Tax Levies: What They Are, How They Work, and How to Respond

Don't Face Complex Tax Issues Alone. 866-384-7103

Footer

Paladini Law A Tax Law Firm  
Areas We Serve: Hoboken, Jefferson, Montville, Morris County, Morristown, Newark, Mount Olive, Parsippany-Troy Hills, Randolph, Rockaway, Roxbury, and Westfield
   

Privacy Policy

Bergen County Office

80 W Century Rd., Suite B7
Paramus, NJ 07652
(by appointment only)
Phone: 866-384-7103
Get Google Directions

Jersey City Office

Morristown Office

163 Madison Ave #220-38
Morristown, NJ 07960
(by appointment only)
Phone: 862-217-6967
Get Google Directions

Morristown Office