Form 12153 — Request for a Collection Due Process or Equivalent Hearing
Complete practitioner guide to Form 12153 for 2026. CDP hearing rights, lien and levy challenges, collection alternatives, and Tax Court appeal. Free for licensed tax professionals.
Implementation Guide for Tax Professionals
Determine CDP Eligibility
A CDP hearing is available when the IRS files a Notice of Federal Tax Lien or issues a Notice of Intent to Levy. The taxpayer has 30 days from the notice date to request a CDP hearing. After the 30-day window, an Equivalent Hearing can be requested within 1 year, but Tax Court rights are lost. [IRC §6320, §6330]
File Form 12153
Complete Form 12153 and submit it to the IRS address shown on the lien or levy notice. Include: (1) the taxpayer's name, address, and SSN/EIN; (2) the type of tax and tax period; (3) the specific issues to be raised at the hearing; and (4) the collection alternative requested (installment agreement, OIC, CNC status, or spousal defense).
Prepare for the CDP Hearing
The hearing is conducted by the IRS Office of Appeals (not the collection division). Prepare: (1) Form 433-A or 433-B (financial statement); (2) documentation supporting collection alternatives; (3) any spousal defense documentation; (4) evidence challenging the underlying liability (if applicable). The hearing can be conducted by phone, correspondence, or in person.
Appeal to Tax Court if Necessary
If the IRS Appeals Officer issues an unfavorable Notice of Determination, the taxpayer has 30 days to petition the U.S. Tax Court. The Tax Court reviews collection issues for abuse of discretion and underlying liability issues de novo. Filing a Tax Court petition further suspends IRS collection action. Most CDP cases settle before trial.
Frequently Asked Questions
What is a Collection Due Process (CDP) hearing?
A CDP hearing is a formal hearing before the IRS Office of Appeals where taxpayers can challenge IRS collection actions (liens and levies). CDP hearings are triggered by: (1) Notice of Federal Tax Lien filing; (2) Notice of Intent to Levy. Taxpayers have 30 days from the notice date to request a CDP hearing. [IRC §6320, §6330]
What issues can be raised at a CDP hearing?
Issues that can be raised: (1) appropriateness of the collection action; (2) collection alternatives (installment agreement, OIC, CNC status); (3) spousal defenses (innocent spouse relief); (4) challenges to the underlying liability (if the taxpayer did not have a prior opportunity to dispute the liability). Issues not raised at the CDP hearing are waived for Tax Court purposes.
What is the difference between a CDP hearing and an Equivalent Hearing?
CDP hearing: must be requested within 30 days of the notice; preserves the right to petition Tax Court. Equivalent Hearing: requested after the 30-day CDP period but within 1 year; does NOT preserve Tax Court rights. An Equivalent Hearing still allows the taxpayer to raise collection alternatives and spousal defenses, but the IRS determination cannot be appealed to Tax Court.
Does requesting a CDP hearing stop IRS collection action?
Yes. A timely CDP hearing request suspends IRS collection action (levies) while the hearing is pending. The collection statute of limitations is also suspended during the CDP process. However, a Federal Tax Lien can still be filed during a CDP hearing. If the taxpayer appeals to Tax Court, collection is further suspended.
What happens after a CDP hearing?
After the hearing, the IRS Appeals Officer issues a Notice of Determination. If the taxpayer disagrees, they can petition the U.S. Tax Court within 30 days. The Tax Court reviews the IRS determination for abuse of discretion (for collection issues) or de novo (for underlying liability issues). Most CDP cases settle before trial.
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