What This Letter Means
You filed a request for a Collection Due Process (CDP) hearing or an equivalent hearing. Since then, it looks like you and IRS Collection reached a resolution. Letter 4474C asks whether you want to withdraw your hearing request. It comes with Form 12256, Withdrawal of Request for Collection Due Process or Equivalent Hearing, and a return envelope.
The IRS usually tries one phone call first. If it can't reach you, it sends this letter.
The Decision Is Yours
The IRS's own procedures say the decision to withdraw lies fully with you. Nobody can make you sign Form 12256. A withdrawal is effective on the date the IRS receives it.
A timely CDP hearing is one of the strongest protections you have in collection. It lets an Appeals officer review the proposed levy or the lien filing and consider collection alternatives. An Appeals determination in a CDP hearing can be reviewed by the U.S. Tax Court. If you withdraw, there is no hearing and no determination to take to court.
What to Do
- If your issue is truly resolved, for example an installment agreement is in place or the balance is paid, and you no longer want the hearing, sign and return Form 12256. Fax is accepted.
- If anything is still open, don't sign. Get the agreement confirmed in writing first.
- If you want the hearing, you don't have to return the form. If the IRS doesn't receive the withdrawal, the case is completed and sent to the Independent Office of Appeals.
Before you sign, ask yourself one question: if the deal falls apart next month, what protection do I have left? Withdrawing gives up the hearing you asked for. Make sure you're getting what you need in return.
If you received Letter 4474C and aren't sure whether to withdraw your hearing, call us at (813) 229-7100.