Case Study: The Business Owner Who Waited Too Long to Respond to the IRS

Let’s talk about Andre*. A wellness entrepreneur, solo operator, and someone who ignored a CP504 notice for five months. This story is a cautionary tale—and a roadmap for what not to do.

(*Name changed for privacy.)

The Warning Signs

• IRS CP504: Final Notice of Intent to Levy

• Bank account garnishment threats

• Ignored multiple notices due to fear and confusion

• Didn’t tell his bookkeeper

What Happened Next

By the time Andre called me:

• The IRS had placed a lien on his business account

• Over $3,000 in penalties and interest had accrued

• He was locked out of state vendor contracts due to the tax lien on his record

What We Did to Help

• Submitted penalty abatement request (Form 843)

• Entered into an installment agreement with manageable monthly payments

• Filed Power of Attorney (Form 2848) to represent him with the IRS

• Removed lien from public record within 90 days of compliance

Lessons Learned

• IRS notices escalate in severity

• Silence makes things worse—not better

• Professionals can step in even after damage is done, but early intervention is best

Call to Action

If you’ve been ignoring IRS mail, this is your nudge. Book a confidential consult—no judgment, just solutions.