IRS Letter 1058 / LT11 – Final Notice of Intent to Levy & Your Hearing Rights

This guide is for general education, not individualized tax or legal advice. IRS collection rules, deadlines, and procedures are technical and can change. Always read the specific instructions on your Letter 1058 or LT11 and review your situation with a qualified professional before taking action.

What IRS Letter 1058 / LT11 is actually telling you

IRS Letter 1058 (sometimes shown as LT11) is a “Final Notice of Intent to Levy and Notice of Your Right to a Hearing.” In plain English, it means:

• The IRS believes you owe a tax balance for one or more years.
• They have already sent earlier notices (like CP14, CP501, CP503, CP504).
• They are now giving you a final warning before they can start:
  • Levying (taking) money from your wages or bank accounts, and/or
  • Levying certain other assets the law allows.
• You have a limited window (often 30 days from the date on the letter) to request a formal Collection Due Process (CDP) hearing.

How you usually got here: the IRS collection timeline in short

Most taxpayers don’t jump straight to Letter 1058. The path often looks like:

1. CP14 – Balance Due: First notice saying you owe.
2. CP501 – Reminder: Friendly-ish reminder that the balance is still unpaid.
3. CP503 – Urgent: “We’ve contacted you before; please respond.”
4. CP504 – Intent to Levy (single source): Warning about intent to levy a federal payment (for example, a state refund).
5. Letter 1058 / LT11 – Final Notice: Formal intent to levy and notice of your right to a hearing.

By the time 1058/LT11 shows up, the IRS has already given you several chances to:

• Pay in full,
• Set up a payment plan, or
• Dispute or adjust the tax if it was wrong.

Your 30-day window: the Collection Due Process (CDP) hearing

One of the most important parts of Letter 1058 / LT11 is the section about your right to a hearing. This is often called a Collection Due Process (CDP) hearing.

In general, you have a limited period (often 30 days from the date on the letter) to:

• Request a CDP hearing by following the instructions on the notice, and
• Potentially stop new levy action while that hearing request is being processed.

At a CDP hearing, you or your representative can talk with an IRS Appeals officer about:

• Whether the IRS followed proper procedures,
• Whether the amount being collected is correct,
• Alternative ways to resolve the debt (payment plans, partial-pay, currently not collectible, etc.), and
• Sometimes, whether lien or levy actions are appropriate or should be adjusted.

What kinds of levies Letter 1058 / LT11 can lead to

A levy is the IRS’s legal seizure of property to satisfy a tax debt. After the final notice:

• They can send a wage levy to your employer and take a chunk of each paycheck.
• They can send a bank levy to your financial institution and freeze funds.
• They may levy certain other assets, depending on your situation and what’s allowed.

Some income sources have special protection rules, but “protected” does not always mean “untouchable.” When I review a case, I look at:

• What year(s) the tax debt covers,
• How old the debt is,
• What the taxpayer’s current income and assets look like, and
• Which IRS tools are realistically on the table (levy, lien, both, or something else).

Options after receiving Letter 1058 / LT11

The best option depends on your situation, but common paths include:

1. Pay in full (if realistic)

If the balance is correct and you can pay it, paying in full (or close to it) can:

• Stop further collection escalation, and
• Reduce future interest and penalties.

2. Set up an installment agreement (payment plan)

If you can’t pay in full, the IRS may accept:

• A streamlined installment agreement (if you meet the criteria), or
• A custom payment plan based on your financial information.

In some cases, getting a payment plan set up quickly can help avoid or limit levy action, especially if it’s done before the IRS’s internal deadlines for enforcement.

3. Currently Not Collectible (CNC)

If your financial situation is tight enough that you truly can’t afford any meaningful payment, you may qualify to have your account placed in Currently Not Collectible status. That doesn’t erase the debt, but it can pause active collection and levies while your situation is reviewed.

4. Offer in Compromise or other deeper resolutions

For some taxpayers, once we dig into the numbers, it may be appropriate to:

• Explore an Offer in Compromise (settlement if you qualify under the rules), or
• Look at other long-term resolution strategies based on income, assets, and future prospects.

These are not quick “fixes,” and they usually require detailed financial paperwork and analysis.

Why ignoring Letter 1058 / LT11 is risky

I understand why people freeze when they see words like “Final Notice” and “Levy.” But ignoring this letter:

• Does not make the debt go away.
• Can lead to wage or bank levies that are much harder to undo after the fact.
• Can reduce your options, including losing the right to a timely CDP hearing if you miss the deadline.

Even if you can’t pay the full amount, raising your hand early — with a plan — usually leads to better outcomes than waiting for the IRS to knock first.

How I typically approach a Letter 1058 / LT11 case

When someone comes to me with this notice, my usual flow looks like:

• Step 1 – Notice & history review. We look at Letter 1058/LT11, any prior CP14/CP501/CP503/CP504, and what years are involved.
• Step 2 – Transcripts. Pull IRS transcripts to confirm balances, penalties, and what the IRS thinks happened.
• Step 3 – Financial picture. Review income, expenses, assets, and family obligations to see what’s realistic.
• Step 4 – Strategy. Decide whether to:
  • Request a CDP hearing,
  • Set up a payment plan,
  • Seek CNC status, or
  • Start the groundwork for a deeper resolution.
• Step 5 – Execution & follow-through. File the hearing request or payment plan paperwork correctly, then track notices and levies going forward.

Letter 1058 / LT11 vs other IRS notices you might get

It’s common to have Letter 1058 or LT11 alongside other notices. For example:

• CP14 – First balance due notice
• CP501 – Reminder about your balance
• CP503 – More urgent balance reminder
• CP504 – Intent to Levy (prior step)
• CP2000 – Proposed changes from third-party information

Each notice serves a different purpose. Letter 1058/LT11 is especially important because of the levy authority it unlocks and the hearing rights it describes.

Quick do’s and don’ts after receiving Letter 1058 / LT11

• Do read the letter carefully and note the date and deadline.
• Do verify that the tax year(s) and amounts appear consistent with your understanding.
• Do consider talking with an Enrolled Agent or other qualified professional before the 30-day window closes.
• Don’t assume the IRS will “just give up” if you ignore the letter.
• Don’t set up a random payment plan you can’t afford — that can backfire.
• Don’t wait until your paycheck or bank account is already levied to seek help if you can avoid it.