What does a Notice of Intent to Levy allow the taxpayer to do?

• A. It notifies that collection actions may proceed and allows the taxpayer to seek collections alternatives, a hearing, or an appeal.
• B. It immediately forgives the tax debt.
• C. It triggers criminal charges against the taxpayer.
• D. It ends the collection process with no further options.

Answer: (D)

A Notice of Intent to Levy signals that the IRS plans to take collection action by seizing property or rights to property, and it gives the taxpayer a chance to respond before the levy occurs. It allows the taxpayer to seek collection alternatives (such as installment agreements, offers in compromise, or other arrangements) and to request a hearing or appeal of the proposed levy. It does not forgive the tax debt, does not trigger criminal charges, and does not end the collection process with no options—it actually provides an opportunity to contest or delay the levy and work toward resolution.