Both forms are used to appeal IRS collection actions, but they serve different purposes and apply to different stages of the collection process.
| Feature | Form 9423 (Collection Appeal Request - CAP) | Form 12153 (Request for a Collection Due Process or Equivalent Hearing - CDP) |
|---|---|---|
| Purpose | Appeals specific collection actions (e.g., liens, levies, installment agreement rejections). | Requests a formal hearing to dispute a lien or levy before or after IRS enforcement. |
| When Used? | - After IRS takes action (e.g., files a lien, issues a levy). - When disputing installment agreement modifications/terminations. |
- Before IRS enforcement (after Notice of Federal Tax Lien or Notice of Intent to Levy). - After IRS enforcement (for an "Equivalent Hearing"). |
| Time Limit | - 2 business days to notify IRS of intent to appeal. - 3 business days to submit Form 9423 after manager conference. |
- 30 days from the date on the IRS notice (lien or levy). - After 30 days, taxpayer can request an "Equivalent Hearing" (fewer rights). |
| Appeals Process | Handled under the Collection Appeals Program (CAP) – faster, less formal. | Handled under Collection Due Process (CDP) – more formal, includes right to Tax Court review if denied. |
| Judicial Review | No right to go to court after CAP decision. | Yes – if denied, taxpayer can appeal to Tax Court within 30 days. |
| Common Uses | - Disputing a levy/seizure. - Challenging lien filings. - Appealing installment agreement rejections/modifications. |
- Disputing a Notice of Federal Tax Lien. - Challenging a Notice of Intent to Levy. - Requesting a hearing before enforcement. |
Key Takeaways
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Use Form 9423 for quick appeals of IRS collection actions (CAP).
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Use Form 12153 for formal hearings (CDP) when you want the right to go to court if the IRS denies your appeal.
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Form 12153 is stronger (legal rights), but Form 9423 is faster (no court appeal).
Example Situations:
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IRS rejects your installment agreement? → Form 9423 (CAP appeal).
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IRS sends a Notice of Intent to Levy? → Form 12153 (CDP hearing).
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IRS already seized your bank account? → Form 9423 (CAP appeal to reverse it).
Remember:
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Form 9423 = Fast, but no court option.
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Form 12153 = Slower, but can go to Tax Court if denied.