URGENT: Action needed soon

LEVY RISK: This notice can lead to seizure of your bank accounts, wages, or other assets if left unresolved.

CP40

IRS Private Collection Agency Assignment


What this notice means

The IRS has assigned your tax account to a private collection agency (PCA). As of 2025, the IRS works with three authorized agencies: CBE Group, Coast Professional, and ConServe. This does not mean you have lost your resolution options — it means the IRS determined your case has been inactive long enough to route to a third party.

What happens if you ignore this

The private collection agency will continue attempting contact. The underlying IRS debt continues to grow with penalties and interest. Eventually the IRS can resume direct enforcement including levies.

What to do right now

1

Verify the notice is legitimate: use the taxpayer authentication number on your CP40 to confirm the caller is from an authorized agency

2

You may request your account be returned to the IRS directly by contacting the private collection agency in writing

3

If you qualify for hardship status, penalty abatement, or a settlement, those must be processed through the IRS — the PCA cannot handle them

4

Do not ignore the notice — the debt is real even if the PCA contact feels unexpected

Programs that may help you

Installment AgreementCurrently Not CollectibleFirst-Time Penalty AbatementOffer in Compromise

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