IRS Letter 1153: Proposed trust fund penalty

Letter 1153. Proposed trust fund penalty.

Letter 1153 is a Proposed Trust Fund Recovery Penalty Notification. The IRS says its collection efforts against the named business have not fully paid certain employment or excise taxes and proposes a penalty against the recipient.

General information from the Law Office of Alexander Powell, PLLC. It is not legal advice, and it is not a substitute for the notice itself.

On the paper

Confirm the business, tax periods, proposed amounts, response date, and the responsibility facts described in the letter and attachments.

Find the date printed on your notice or letter. The paper notice and the current official IRS instructions control, even where this page differs.

General next steps

Read the letter and identify whether you agree with the proposed penalty for each tax period.
If you agree, follow the letter’s instructions for signing and returning Form 2751.
If you disagree, follow the protest instructions and keep proof of delivery or submission.

Timing

The IRS says a Letter 1153 protest generally must be filed within 60 days from the date of the letter, or 75 days if the letter is addressed outside the United States. Use the address, date, and instructions on your copy.

What this page cannot tell you

This page does not decide whether responsibility, willfulness, or the proposed amount applies to you.

Official sources

If anything on this page differs from your notice or from current IRS instructions, follow the notice and the IRS.

Questions after reading the letter?

You can ask the Law Office of Alexander Powell, PLLC to consider a consultation about any IRS or tax letter. Requesting a consultation does not make Mr. Powell your lawyer, provide legal advice, or protect a deadline. Representation begins only after a conflict check, after the firm agrees to the matter, and after both sides sign a written engagement agreement.

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