CP503: Second Balance Due Notice
You received a CP14 previously and still haven't paid. This is the IRS's second notice — act now.
Deadline
Immediate — next escalation within 30-60 days
Do I owe money?
Yes
What does CP503 mean?
CP503 is the IRS's second payment demand, sent after CP14 was ignored. The balance is the same as CP14 but interest and penalties have continued to accrue. The IRS is escalating. If CP503 is also ignored, the next notice is CP504 (intent to levy your state tax refund), followed by CP90 (wage and bank levy). At this stage, setting up a payment plan is critical.
What should you do next?
- 1Pay immediately or set up an installment agreement at IRS.gov/OPA before the next escalation
- 2If you previously sent payment and it wasn't credited, call 1-800-829-1040 with proof
- 3If you cannot pay anything, explore Currently Not Collectible (CNC) status or an Offer in Compromise
- 4Do not ignore this notice — CP504 will follow within 30-60 days
Frequently asked questions
What happens after CP503 if I still don't pay?
The IRS will send CP504 (intent to levy your state income tax refund), then CP90 or LT11 (final notice before seizing wages, bank accounts, or property). The entire sequence from CP14 to levy typically takes 5-6 months.
Will setting up a payment plan stop the escalation?
Yes. Once an installment agreement is active, the IRS stops the levy process. The failure-to-pay penalty also drops from 0.5% to 0.25% per month while an approved payment plan is in effect.
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Explain my noticeLast updated: 2026-05-18