If an envelope marked Letter 11 (the IRS also uses the codes LT11 and Letter 1058 internally) reached you after years of unfiled returns, read the date on it first. That date starts a 30-day clock. This notice is the IRS telling you it intends to levy, and that you have a right to a hearing before it does.
Tax Debt Relief Group works these notices for non-filers. This page explains what the letter is, what the IRS can and cannot do once the 30 days run out, and how we handle the case so you are not facing the IRS alone.
What IRS Letter 11 Actually Is
Letter 11 is the IRS’s Notice of Intent to Levy and Notice of Your Right to a Hearing. The Internal Revenue Manual lists it among the notices the IRS must give before it levies in most cases: the notice and demand for payment, the notice of intent to levy, the notice of a right to a Collection Due Process (CDP) hearing, and notice of third-party contact (IRM 5.11.1.3.2).
The levy notice must be given at least 30 days before the levy, and the law gives you those 30 days to pay before property can be levied (IRC §6331(d); IRC §6330(a)). For non-filers, the balance behind the letter is often tax the IRS assessed itself for years no return was filed, plus penalties and interest.
What Can Happen After the 30 Days
The IRS levies administratively. It does not need a court order (IRC §6331). Once the 30 days pass without a timely hearing request, payment, or an approved payment arrangement, it may serve levies on:
- Bank accounts, including accounts you share with someone else.
- Wages and other income paid by an employer or client.
- Other property and rights to property, such as accounts receivable.
Retirement accounts and Social Security are not exempt from levy. IRC §6334(c) says no property is exempt other than what §6334(a) lists. What protects some of that money in practice is IRS discretion, governed by IRM 5.11.6.3, and that is something we raise on your behalf.
A levy is not always the end of the road. The IRS can release a levy for hardship (IRC §6343(a)(1)(D)), and it may not levy while a pending installment agreement or offer in compromise is being considered (IRC §6331(k)).
Your Right to a Hearing Comes With a Deadline
The notice must tell you about your right to request a CDP hearing during the 30-day period (IRC §6330(a)). If you request it in time and state your grounds:
- The hearing is held by the IRS Independent Office of Appeals, conducted by someone with no prior involvement in the tax at issue (IRC §6330(b)).
- Relevant issues can be raised, including collection alternatives and whether the proposed collection is more intrusive than necessary (IRC §6330(c)(2)).
- The levy actions that are the subject of the hearing, and the collection statute of limitations, are suspended while the hearing and appeals are pending (IRC §6330(e)(1)).
There are exceptions. For example, jeopardy levies and state tax refund levies are not subject to the pre-levy hearing (IRC §6330(f)).
If the 30 days have already passed, the statutory CDP hearing and its automatic levy hold are no longer available on that notice. That does not mean nothing can be done. The Collection Appeals Program, hardship requests and payment arrangements remain, which is why we want to hear about the letter right away, not after the first levy.
Why Non-Filers Face Extra Pressure
Penalties and interest keep building
The failure-to-file addition is 5% of the tax for each month or part of a month, up to 25%. The failure-to-pay addition is 0.5% per month, also up to 25%, and the failure-to-file amount is reduced by the failure-to-pay amount for any month both apply (IRC §6651(a), (c)(1)). If the failure to file is fraudulent, the rates become 15% per month and 75% (IRC §6651(f)). Interest is compounded daily (IRC §6622(a)).
Passport problems
If assessed tax, penalties and interest total more than the inflation-adjusted “seriously delinquent” threshold, the IRS can certify the debt to the State Department, which can deny or revoke a passport (IRC §7345). For 2026 the IRS lists that threshold at $66,000. Debts being paid under a timely installment agreement or accepted offer in compromise, accounts in currently-not-collectible hardship status, and bankruptcy cases are excluded. Older articles quote $62,000 or other figures. Those are out of date.
Criminal exposure requires willfulness
Willful failure to file a return is a misdemeanor, punishable by up to $25,000 and one year in prison, or both (IRC §7203). The word that matters is willfully. A receipt of Letter 11 is a collection notice, not a criminal charge, but it is a good reason to get representation before you speak to the IRS about unfiled years.
How We Handle a Letter 11 Case
Tax Debt Relief Group is led by Peter Kici, an Enrolled Agent authorized to represent taxpayers before the IRS. Under a retainer, our team works the case so you do not have to deal with the IRS directly:
- We confirm the deadline. We check the date on the notice and which tax years and balances it covers.
- We pull your IRS records. Account and wage and income transcripts show what the IRS assessed and what it knows about your income.
- We protect your hearing rights. Where the window is still open, we prepare and file the CDP hearing request on time.
- We get the unfiled years filed. Bringing returns current is usually the first step toward any long-term solution.
- We pursue the right resolution. Depending on your facts, that can be an installment agreement, hardship status, or another option reviewed with you. Results depend on your circumstances and we cannot promise an outcome.
If you have unfiled years behind this letter, see how our non-filer help works. If the IRS has already levied or you are worried about your bank account, our levy and seizure help page explains how we respond.
Got a Letter 11 and not sure how many days you have left? Book a free consultation and bring the letter. You can also read our free book on resolving IRS tax debt.
Frequently Asked Questions
Is Letter 11 the same as a CP504?
No. A CP504 is a notice under IRC §6331(d). The notice that carries your CDP hearing rights under IRC §6330 is the separate Notice of Intent to Levy and Right to a Hearing, sent as Letter 11 or Letter 1058 (IRM 5.11.1.3.3). See our guide to the CP504 notice.
Can the IRS take money from my bank account without going to court?
Yes. The IRS levies administratively under IRC §6331 and does not need a court order.
Will filing my missing returns stop the levy?
Filing alone does not automatically stop a levy. A timely CDP hearing request suspends the levy actions under the hearing, and a pending installment agreement or offer can also bar levy (IRC §6331(k)). We coordinate the filings and the request so they work together.
Can the IRS levy my Social Security or retirement account?
They are not on the list of property exempt from levy (IRC §6334). IRS procedure gives some discretion before levying these, which we raise for you (IRM 5.11.6.3).
Can bankruptcy stop this?
Filing bankruptcy triggers an automatic stay, but whether any of the tax can be discharged depends on the age of the returns, filing dates and assessment dates, and many non-filer debts do not qualify. We review that with you before it is raised as an option.