What Form 12153 Is For

Form 12153 is your official ticket to appeal IRS collection actions before they seize your property or income. Think of it as your legal "stop sign" that you can hold up when the IRS threatens to take your wages, bank accounts, house, car, or other assets to collect unpaid taxes.

Specifically, you use Form 12153 to request a Collection Due Process (CDP) hearing or an Equivalent Hearing (EH) with the IRS Independent Office of Appeals. This hearing gives you an impartial review of the IRS's decision to file a federal tax lien (a legal claim on your property) or issue a levy (actually seizing your property or income). During a CDP hearing, you can dispute the amount you owe, propose payment alternatives like installment agreements, or challenge whether the IRS followed proper procedures. IRS.gov

The form protects your rights under Internal Revenue Code sections 6320 (for liens) and 6330 (for levies), ensuring you get a fair chance to be heard before the government takes drastic collection action.

When You’d Use Form 12153

The timing of your Form 12153 submission is absolutely critical—it determines what protections you receive.

Timely CDP Hearing (Within 30 Days)

You must file Form 12153 within 30 days from the date on your IRS notice to qualify for a full Collection Due Process hearing. For lien notices, you have 30 days after 5 business days following the filing date. Filing within this window gives you maximum protection: the IRS generally cannot levy your property while your case is pending, the 10-year collection period is suspended, and you can appeal the final decision to U.S. Tax Court if you disagree. IRS.gov

Late/Equivalent Hearing (Within 1 Year)

If you miss the 30-day deadline, you can still request an Equivalent Hearing by filing Form 12153 within one year from the date of the notice. However, you lose significant protections: the IRS can proceed with levy action while your case is pending, the 10-year collection clock keeps running, and you cannot appeal to Tax Court (except in limited cases like innocent spouse relief). You still get an Appeals hearing, but without the legal safeguards. IRS.gov

Typical Notices That Trigger Use of Form 12153

• Notice of Federal Tax Lien Filing and Your Right to a Hearing (Letter 3172)
• Final Notice of Intent to Levy (Letter LT11 or L-1058)
• Notice of Levy on Your State Tax Refund
• Notice of Jeopardy Levy

Key Rules You Need to Know

Understanding the rules helps you maximize your chances of success:

1. Written and Signed Request: Your request must be in writing and signed by you or your authorized representative (with a valid Form 2848 Power of Attorney on file). Verbal requests don't count. IRS.gov
2. One Hearing Per Tax Period: You're entitled to only one CDP lien hearing and one CDP levy hearing for each specific tax period. Once you've had your hearing for 2020 income taxes, you can't request another CDP hearing for that same year. IRS.gov
3. You Must Provide a Reason: The IRS won't honor your request unless you explain why you're appealing. Common valid reasons include: disputing the amount owed, requesting innocent spouse relief, claiming bankruptcy discharge, identifying unapplied payments, or requesting a payment plan due to financial hardship. IRS.gov
4. Limited Liability Disputes: You can only challenge the underlying tax amount if you never received a statutory notice of deficiency (a formal letter giving you the right to contest taxes in Tax Court) or never had another prior opportunity to dispute the debt. If you already fought the tax bill and lost, you generally can't re-litigate it in a CDP hearing. IRS.gov
5. Automatic Protections for Timely Requests: A timely CDP hearing request automatically stops most levy actions and suspends the 10-year collection statute. The IRS can still file new liens, but they generally cannot seize property subject to the hearing. IRS.gov
6. Submit Financial Information Early: If you're requesting a payment plan or offer in compromise, include Form 433-A (individuals) or Form 433-B (businesses) with your Form 12153. While not required, submitting financial documentation early dramatically speeds up your case resolution. IRS.gov

Step-by-Step (High Level)

Step 1: Receive Your Notice

The IRS will send you a CDP notice explaining the proposed collection action (lien filing or intent to levy). The notice includes the deadline for requesting a hearing—typically 30 days from the notice date.

Step 2: Review Your Options

Determine whether you want to dispute the tax amount, request a payment alternative (installment agreement, offer in compromise, currently not collectible status), or challenge IRS procedures. Consider whether you need representation from a tax attorney, CPA, or qualified tax professional.

Step 3: Complete Form 12153

Download the form from IRS.gov or use the copy included with your notice. Fill in your personal information, identify which notice you're appealing, check applicable boxes, and provide a detailed explanation in Section 8. The more specific you are, the better.

Step 4: Gather Supporting Documents

Include copies of your CDP notice, financial statements (Forms 433-A or 433-B if requesting payment alternatives), proof of payments the IRS didn't credit, or documentation supporting your position (bankruptcy discharge papers, innocent spouse evidence, etc.).

Step 5: Mail to the Correct Address

Send Form 12153 to the address shown on your CDP notice—not the payment address. Keep copies of everything and proof of mailing (certified mail with return receipt is recommended). The postmark date determines whether your request is timely.

Step 6: Wait for Acknowledgment

The IRS will send you a confirmation letter explaining the next steps. During a timely CDP hearing, levy actions are generally suspended. You may be contacted by an Appeals Officer to schedule your conference.

Common Mistakes and How to Avoid Them

Mistake #1: Missing the 30-Day Deadline

This is the most devastating error. Many taxpayers receive the notice but procrastinate, missing the critical window for CDP protections. Solution: Mark your calendar immediately upon receiving any IRS lien or levy notice. The 30-day clock starts from the notice date, not when you receive it. When in doubt, file early.

Mistake #2: Sending to the Wrong Address

Sending Form 12153 to the payment address or your local IRS office instead of the specific CDP address on your notice means your request may not be processed timely. Solution: Use the exact address printed on your CDP notice under "Where to File." Double-check before mailing.

Mistake #3: Failing to Explain Your Reason

Simply checking boxes without providing detailed explanation in Section 8 can result in rejection. The IRS needs to understand your specific concerns. Solution: Write a clear, detailed explanation. Instead of "I disagree," write "I dispute the 2020 tax assessment because I submitted proof of $15,000 in deductible medical expenses that were not considered."

Mistake #4: Not Including Financial Information

If you're requesting a payment plan but don't include Form 433-A/B, your hearing will be delayed for months while you gather the documents later. Solution: If financial hardship or payment alternatives are relevant, complete and attach your Collection Information Statement with your initial Form 12153.

Mistake #5: Raising Frivolous Arguments

Arguments like "taxation is unconstitutional" or "wages aren't income" are considered frivolous and can result in penalties and denial of a face-to-face hearing. Solution: Stick to legitimate issues: incorrect amounts, procedural errors, payment alternatives, or genuine liability disputes based on facts and law.

Mistake #6: Not Signing the Form

Unsigned requests won't be processed. If you have a representative, only one of you should sign—either you OR your representative (who must have Form 2848 on file), not both. Solution: Review the signature section carefully before mailing.

Mistake #7: Trying to Re-Litigate Old Issues

If you already had your day in Tax Court or received a statutory notice of deficiency years ago, you generally can't dispute the underlying liability again in a CDP hearing. Solution: Focus on collection alternatives, procedural issues, or lien/levy appropriateness rather than reopening settled tax disputes.

What Happens After You File

Immediate Effect (Timely CDP Requests)

Once the IRS receives your timely Form 12153, most levy actions stop immediately. Your bank accounts, wages, and property are generally protected from seizure while your case is pending. The 10-year collection statute of limitations is also suspended, meaning the time your case takes won't count against the collection deadline. IRS.gov

Assignment to Appeals

Your case is transferred from IRS Collections to the independent Office of Appeals, which operates separately from the collection division. An Appeals Officer will review your file and may contact you within 30-60 days to schedule your hearing.

The Hearing

Your hearing can be conducted by phone, correspondence, or face-to-face (if you qualify and it's not deemed frivolous). You'll present your arguments, supporting documents, and proposed solutions. Appeals may ask the Collection office to verify information or respond to your claims. You'll see any Collection comments and have a chance to respond. IRS.gov

Appeals Determination

After considering all evidence, Appeals issues a "Notice of Determination" explaining their decision. This typically takes 3-6 months (sometimes longer for complex cases). Appeals must verify that IRS requirements were met, the collection action is appropriate, and they've considered reasonable collection alternatives.

Tax Court Review (CDP Only)

If you filed a timely CDP request and disagree with the Appeals determination, you have 30 days from the determination date to petition U.S. Tax Court for review. This option is NOT available for Equivalent Hearings. IRS.gov

Collection Action Resumes

Once the determination becomes final (either you agree, don't appeal to Tax Court, or Tax Court rules), the IRS can proceed with collection if the determination went against you. However, if Appeals approved a payment plan or other arrangement, you'll follow those terms instead.

FAQs

Q1: Does filing Form 12153 stop the IRS from taking my money immediately?

A: If you file a timely CDP request (within 30 days), the IRS must generally stop levy actions while your case is pending. However, the IRS can still file new tax liens. If you file an Equivalent Hearing request (after 30 days), the IRS can continue levy actions even while considering your appeal. The lien itself—the legal claim on your property—already exists once you owe taxes; Form 12153 addresses the public Notice of Federal Tax Lien filing or the levy (seizure) action. IRS.gov

Q2: Can I request a payment plan in my Form 12153 even if I can't dispute the tax amount?

A: Absolutely! Collection alternatives are a primary purpose of CDP hearings. Even if you agree you owe the taxes, you can propose an installment agreement, offer in compromise, or request Currently Not Collectible status due to economic hardship. Include Form 433-A (individuals) or Form 433-B (businesses) to show your financial situation. Appeals will evaluate whether your proposal is reasonable. IRS.gov

Q3: What if I missed the 30-day deadline—should I still file Form 12153?

A: Yes, if you're within one year of the notice date. You'll receive an Equivalent Hearing, which still gives you an independent Appeals review and the ability to propose payment alternatives. You lose the automatic levy suspension and Tax Court appeal rights, but an EH is far better than no hearing at all. If you're beyond one year, you may still have Collection Appeals Program (CAP) options—contact the IRS immediately. IRS.gov

Q4: Will I have to go to an IRS office for my hearing?

A: Most hearings are conducted by telephone or correspondence. Face-to-face conferences at an Appeals office are available if you request one and your issues aren't deemed frivolous, but they're not required. Phone hearings are just as effective and much more convenient for most taxpayers. IRS.gov

Q5: Can the IRS reject my Form 12153?

A: The IRS can reject your request if it's untimely for a CDP hearing (though you'd still get an EH if within one year), if you don't provide a reason for the appeal, if it's unsigned, if it raises only frivolous arguments, or if you've already had a CDP hearing for that specific tax period. However, rejections for legitimate, properly filed requests are rare. If rejected, you'll be notified why. IRS.gov

Q6: Do I need a lawyer or tax professional to file Form 12153?

A: No, you can file Form 12153 yourself—it's designed for taxpayer use. However, complex cases, large tax debts, or situations involving legal disputes benefit from professional representation. For more information about assistance options, visit IRS.gov or call 1-800-829-1040. IRS.gov

Q7: If Appeals rules against me, can I appeal their decision?

A: If you filed a timely CDP request, yes—you can petition U.S. Tax Court within 30 days of the determination. You cannot appeal to Tax Court if you filed an Equivalent Hearing request (late), except in very limited situations like innocent spouse relief or interest abatement denial. Understanding this distinction is crucial when deciding whether to rush a late request. IRS.gov

Additional Resources

• IRS Assistance: 1-800-829-1040 (individuals) or 1-800-829-4933 (businesses)
• Form 12153: irs.gov/pub/irs-pdf/f12153.pdf
• Publication 1660 (Collection Appeal Rights): irs.gov/pub/irs-pdf/p1660.pdf
• Publication 594 (Collection Process): irs.gov/pub/irs-pdf/p594.pdf
• IRS Collection Due Process Information: irs.gov/appeals/collection-due-process-cdp-faqs

This summary is for informational purposes only and does not constitute legal or tax advice. For specific situations, consult a qualified tax professional or attorney.