Also known as: notices of seizure · seizure notice
Written by attorneys · grounded in primary & secondary sources — see below
A formal document issued by the IRS after seizing a taxpayer's property to satisfy unpaid taxes. The notice must describe the seized property and state the amount of tax due. It is delivered in person at the taxpayer's usual place of abode or business or mailed to the last known address.
Nestor Navarro operates a small construction firm. The IRS seizes his excavators and loaders for unpaid employment taxes without prior notice. Agents leave a Notice of Seizure at his business address describing the equipment and the tax balance. Navarro then receives a prompt post-seizure hearing to contest the action.
Nancy Nelson owns a boutique. State revenue agents seize cash and handbags suspected as proceeds of tax evasion. They deliver a Notice of Seizure describing the items and the alleged tax liability to her store address. Nelson uses the notice to request the required post-seizure hearing.
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Section 6335 requires the IRS to deliver the notice after property has been seized. The notice must describe the property and the tax amount due and be left at the taxpayer's abode or business or mailed to the last known address.
Supporting sources
No. Due process does not invariably require pre-seizure notice and hearing for personal property subject to forfeiture. Because such property can be quickly removed, hidden, or destroyed, the government may seize first when justified by the circumstances, provided it supplies prompt post-seizure notice and a meaningful hearing.
The taxpayer may bring an action under § 7433 within two years after the right of action accrues, but only after exhausting administrative remedies such as notifying the IRS of the improper activity and demanding that it cease.
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