Kentucky Final Notice / Intent to Levy or Enforce Checklist
A Kentucky Final Notice Before Seizure is a formal state document telling you that the Department of Revenue is about to take collection action on unpaid Kentucky taxes. This is one of the last notices you will receive before the state can seize money from your bank account, garnish your wages, or place a lien on your property.
What This Notice Means
The Final Notice Before Seizure tells you that the Kentucky Department of Revenue has made a formal decision to collect your unpaid taxes through enforcement action. This serves as the last written warning before the state's authority to take money directly from your bank accounts, paycheck, tax refunds, or business revenue.
Kentucky Revised Statutes require at least ten days between this notice and the actual levy date, giving you time to respond before enforcement begins. It names a specific tax debt, the amount owed, and a deadline for response or payment, warning that inaction by that deadline will result in collection proceedings.
Why the State Sent This Notice
Kentucky sends this notice only after you have already received earlier notices and have not responded to them or paid the debt. The state typically issues this final notice when a tax account has been assigned to the Division of Collections, and all earlier opportunities to resolve the matter have passed.
What Happens If You Ignore This Notice
Failure to respond means the Department of Revenue will begin enforcement after the ten-day period specified in the notice. The state can seize money directly from your bank account through a bank levy, garnish your wages by instructing your employer to send part of your paycheck to the state, intercept state or federal tax refunds, file a lien against your property, or pursue other collection methods allowed under Kentucky law.
What This Notice Does Not Mean
This notice does not mean you have been criminally charged or that criminal action will automatically follow. The Kentucky Department of Revenue is still handling your account, and the debt has not been sold to a private collection agency.
Checklist: What to Do After Receiving This Notice
Step 1: Read the Entire Notice Carefully
Find and write down the exact amount of tax debt listed, the tax year or period it covers, the specific deadline for your response, the department contact information or address provided, and any reference numbers or case numbers. Check whether it shows a recent payment you made that may not have been credited yet.
Step 2: Verify You Owe the Debt
Review your own tax records, filed returns, and any payment history for the tax year in question. Consider whether you recognize this amount, whether you filed a return for this year, whether you have records of payments you made, and whether the total is correct based on your understanding of what you owed.
Step 3: Gather Your Documentation
Collect copies of the original tax return you filed, proof of any payments you made, such as bank statements or check stubs, correspondence from the Kentucky Department of Revenue about this debt, any amended returns you filed, and records showing you are not responsible if someone else owes the debt. Keep these in one place and make a backup copy.
Step 4: Decide Whether You Want to Dispute, Pay, or Set Up a Payment Plan
You have three general paths forward. First, you can dispute it if you believe the amount is wrong or if you do not owe it. Kentucky law provides taxpayers with a statutory right to protest under KRS 131.110, and you must submit a written protest within 60 days of the Notice of Tax Due. Your written protest must fully identify what you are disputing and provide a supporting statement with documentation.
Second, you can pay in full by sending payment to the address specified in the notice before the deadline. Third, you can request a payment plan if you cannot pay in full, as Kentucky statute KRS 131.081 provides taxpayers with a statutory right to consideration of an installment agreement.
Step 5: Contact the Kentucky Department of Revenue
Contact the state before the deadline using the phone number or address on the notice if you are choosing to dispute or request a payment plan. Provide your full name and any identifying numbers referenced in the notice, explain briefly whether you are disputing the debt or requesting a payment plan, listen to what options the department explains, and ask for confirmation of any agreement in writing.
Step 6: Submit Your Response in Writing
Follow up your phone conversation with a written request sent to the address shown on the notice. Include your name and any identifying numbers from it, a clear statement of what you are asking, a brief explanation of your reason, copies of supporting documents, and proof that you sent it by mail with tracking or a hand-delivery receipt.
Step 7: Understand Available Options
The Department of Revenue offers an Offer in Settlement Program that allows it to settle cases for less than the amount owed. Payment plans are available for taxpayers who cannot pay within the first 60 days, but after 60 days, a 25% cost of collection fee will be added to your Notice of Tax Due.
Step 8: Follow Up If You Do Not Hear Back
Contact the department again using the number or address in the notice if you submitted a dispute or payment plan request but have not received a response within 10-15 business days. State that you are following up on your earlier submission and ask for written confirmation that your request was received.
Common Mistakes to Avoid
Waiting until the last day of the deadline to respond can result in the state not receiving your payment or request in time. Send payment only to the address shown in the notice itself, not to an incorrect address. Do not ignore follow-up notices about wage garnishment, bank levies, or liens, as these are separate notices and require attention even if you have already contacted the state about the original debt.
Frequently Asked Questions
Can I ask for more time?
You can contact the state and ask, but the notice sets a specific deadline based on the ten-day statutory minimum, and the state is not required to extend it.
Will interest and penalties keep adding to my bill?
Penalties and interest on unpaid Kentucky taxes continue to accumulate while the debt remains unpaid, which is another reason to contact the state quickly.
What if I am on a payment plan already?
This final notice may mean that the agreement has broken down because you missed a payment, or the agreement was never recorded in the state system.
Can the state take money from my bank account without going to court?
Yes, after the ten-day notice period expires, the Kentucky Department of Revenue can issue a bank levy or wage garnishment without going to court.
Received a State Tax Notice?
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This checklist is for educational purposes only and does not constitute tax or legal advice. Always review official IRS instructions and consult a qualified professional for guidance
