Receiving an IRS LT16 Notice means the IRS is formally requesting payment for an overdue tax liability. This notice is a clear signal that the IRS expects immediate action — either payment or communication — to resolve your tax debt.

👉See more videos on our channel about LITC Education and how CPA Clinics can help.

 

🚨 What LT16 Means

  • LT16 is a payment request notice for overdue taxes.
  • It informs you of the balance owed, including penalties and interest.
  • The IRS expects you to pay the balance in full or contact them to discuss payment options.
  • Ignoring LT16 can lead to more aggressive enforcement actions, including liens, levies, and wage garnishments.

⚖️ Your Options After Receiving LT16

  • Pay the balance in full to stop penalties and interest.
  • Set up a payment plan (Installment Agreement) with the IRS.
  • Request penalty relief if circumstances prevented timely payment.
  • Dispute the balance if you believe the IRS made an error.

⚠️ Common Complications

  • Escalation Risk: Ignoring LT16 can lead to levy notices such as LT11/Letter 1058.
  • Financial Strain: Penalties and interest continue to grow, making balances harder to manage.
  • Language Barriers: ESL taxpayers may not fully understand their rights or deadlines.
  • Limited Resources: Low‑income taxpayers often cannot afford professional representation.

🛡️ How CPA Clinics (LITC) Helps

The Low Income Taxpayer Clinic (LITC) at CPA Clinics provides free or low‑cost representation for qualifying taxpayers. If you receive LT16:

  • We review your IRS notice and financial situation.
  • We explain your rights and options clearly.
  • We assist in negotiating payment plans or requesting penalty relief.
  • We represent you before the IRS if disputes escalate.
  • We provide education for taxpayers who speak English as a second language (ESL).

📖 Commonly Asked Questions

Q1: Is LT16 a final notice?

👉 No. LT16 is a payment request. If ignored, the IRS may escalate to levy notices such as LT11/Letter 1058.

Q2: What happens if I ignore LT16?

👉 The IRS will continue collection efforts, adding penalties and interest, and may eventually seize wages, bank accounts, or property.

Q3: Can I dispute the balance shown on LT16?

👉 Yes. If you believe the IRS made an error, CPA Clinics can help you file a dispute or request a Collection Due Process hearing if the issue escalates.

Q4: Do I qualify for LITC help?

👉 If your income is within IRS guidelines (≤250% of the federal poverty level) or you speak English as a second language, you may qualify for free representation.

Q5: What if I can’t pay anything right now?

👉 Options include requesting Currently Not Collectible status or applying for an Offer in Compromise. CPA Clinics can guide you through these processes.

Contact Us – We’re Here to Help

If you’ve received an IRS LT16 Notice, act immediately. Relief and representation may be available.

📞 Phone: (516) 464‑7444
📧 Email: info@cpaclinics.com
🌐 Website: www.cpaclinics.com
📍 Locations: Bronx, Manhattan, Hempstead, Hicksville