IRS Notice Guide

Form 668-A: The IRS Notice of Levy Sent to Banks and Others

By Ray Neu, Publisher | Last reviewed: October 26, 2026 | Reading time: 9 min

Short answer

Form 668-A is the IRS Notice of Levy a bank or other third party receives when it holds a taxpayer’s property, such as an account balance or money owed to a business. It captures what exists when the levy is made, and 26 U.S.C. § 6332(c) makes a bank wait 21 days before surrendering deposits.

This page explains the document: who receives it, its instructions, the taxpayer’s copy, and the routes for co-owners. The bank levy process and options for the balance are in the IRS bank levy guide.

Deadline to know: Under Treasury Regulation § 301.6332-3(c), a bank surrenders levied deposits on the first business day after 21 calendar days from the date the levy is made, absent a release or extension. Funds a card processor holds for a merchant are not deposits (IRM 5.19.4.3.10).

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What Form 668-A is, and who it goes to

IRS guidance for third parties says the agency “generally uses Form 668-A to levy other property that a third party is holding,” such as bank accounts and business receivables. Per IRM 5.19.4.3.10, it is also the form for entities such as corporations and partnerships, where no wage exemption applies.

Recipients named in IRS sources:

Banks. Including credit unions, savings and loans and trust companies under § 408(n); the IRM says the form is “commonly called a bank levy.”
Customers and payers. Receivables, and federal payments that IRM 5.19.4.3.10 keeps off Form 668-W.
Card processors and digital asset service providers. Per IRM 5.19.4.3.10 and 5.19.4.3.5.2.
Holders of property being seized. IRM 5.11.1.2 calls the 668-A “the demand to turn over the taxpayer’s property.”

IRS pages and most IRM sections say Form 668-A; IRM 5.11.4.11.1 and Publication 4528 say Form 668-A(c)(DO). Wages and retirement income go on Form 668-W (see the wage garnishment guide).

The parts of the form and the taxpayer’s copy

Copy	Where it goes
Part 2	Left with the person who receives a levy served in person (IRM 5.11.2.2.7)
Part 4, or Form 8519	The taxpayer. Levies printed by ACS or a central print site send Form 8519, Taxpayer’s Copy of Notice of Levy
Part 5	Retained in the IRS case file (IRM 5.11.2.2.2)

The taxpayer’s copy is timed to arrive after the third party’s; IRM 5.11.2.2.7 says to wait “so the taxpayer does not get the levy before the levy source does.” The IRM states the gap three ways: “seven days after” the 668-A goes to the bank (IRM 5.19.4.3.10), “Five workdays later” for a manual ACS levy (IRM 5.19.4.3.11), and within five business days of a central print site receiving the file (IRM 5.11.2.2.7).

When the levy counts as made

Under Treasury Regulation § 301.6331-1(c), a mailed levy is made when delivered; with certified mail, the return receipt date controls. The IRS depositary notice says a hand-delivered levy takes effect on delivery, and a bank may not designate one branch for in-person service.

What the instructions on the form require

Section 6332(a) requires the holder to surrender levied property on demand. The form’s instructions, as quoted by the IRS, say: “Make a reasonable effort to identify all property and rights to property belonging to this person. At a minimum, search your records using the taxpayer’s name, address, and identifying number(s) shown on this form.”

No perfect match needed. Under IRM 5.11.4.11.1 the levy attaches even if the account’s TIN differs; the IRS encourages a recipient in doubt to call the number on the levy.
No fee off the top. The levy instructions state, “You may not subtract a processing fee from the amount you send us.”
Balance requests. The 21-day wait does not apply to an IRS demand for account information under § 6333.

If the recipient does not comply

A refusal is followed by Form 668-C, Final Demand for Payment, with 5 days to respond (IRM 5.11.2.2.9). Continued refusal brings personal liability under § 6332(d)(1), capped at the tax, and an added 50 percent penalty under § 6332(d)(2) unless there was reasonable cause; the depositary notice says no statute of limitations applies to that suit against a depositary. A holder that complies is discharged by § 6332(e).

What a 668-A reaches, and when

Section 6331(b) limits a levy “only to property possessed and obligations existing at the time thereof,” except wages. Under Treasury Regulation § 301.6331-1(a)(1), an obligation exists once the payer’s liability is “fixed and determinable,” even if payment comes later. IRM 5.11.5.3 illustrates with royalties: a 668-A reaches future royalties on books already published, not on books written afterward.

Bank deposits during the hold

Frozen balance. Under § 301.6332-3(c)(3), “No withdrawals may be made on levied upon deposits” during the hold. Later deposits, and deposits not yet cleared when the levy arrived, are outside it (IRM 5.19.4.3.10).
Waiver. A depositor may waive the hold; if an account lists several owners, all must agree.
Extensions. The IRS may ask for more time, including when a genuine dispute over the assessment appears to exist.

Holders with other timing rules

A card processor pays when the merchant contract calls for payment. Under § 6332(b), an insurer levied on a life insurance or endowment contract pays the amount the insured could have had advanced, 90 days after service.

Inside a Form 668-A hold period?

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Property the levy cannot take

Section 6334(a) lists exempt property, including unemployment benefits, workers’ compensation, certain annuity and pension payments, certain service-connected disability payments, and public assistance under title IV or title XVI of the Social Security Act or needs-tested state and local programs. Section 6334(c) closes the list: “no property or rights to property shall be exempt from levy other than the property specifically made exempt by subsection (a).”

The wage exemption belongs to Form 668-W. IRM 5.11.4.6 says that after income is deposited “there is no exempt amount,” and that when an entire deposited paycheck is levied an economic hardship may exist, in which case the IRM calls for a full or partial release. The TAS levy release page lists a levy on exempt property among those that are “not in accordance with IRS administrative procedures.”

Co-owners and other third parties

A 668-A names one taxpayer, but the money it freezes may be someone else’s; TAS describes a levy for another person’s taxes “attaching to your property.” The route depends on where the money is:

Stage	Route named in official sources
Funds still at the bank	Call the number on the levy, or request a Collection Appeals Program appeal (Form 9423). The IRS can ask the bank to hold funds past 21 days while ownership is checked (IRM 5.11.2.3.2.1).
Funds sent to the IRS	An administrative wrongful levy claim under § 6343(b), described in Publication 4528 (Rev. 3-2018)
Either stage	A civil action in federal district court under § 7426(a)(1)

Publication 4528 sets the claim deadline for cash at 2 years from delivery of the notice of levy (Form 668-A(c)(DO)). A suit needs no prior claim, but damages under § 7426(h) require exhausting administrative remedies. A timely claim extends the time to sue by the shorter of 12 months from filing or 6 months from a mailed disallowance, and a rejection can be appealed through CAP. Money returned under § 6343(b) earns interest under § 6343(c).

Release, and bank charges from an IRS error

Form 668-D, Release of Levy/Release of Property from Levy, releases a 668-A in full or in part (IRM 5.11.2.3.4). The grounds are in § 6343(a)(1), and § 6343(a)(3) says a release “shall not prevent any subsequent levy.” Under IRM 5.11.2.3.1.2, a bank levy served before the collection period ends need not be released because the period runs out during the hold.

For an erroneous levy, Form 8546 (Rev. 11-2024) claims reimbursement of bank charges. Claims are limited to $1,000; every owner of a joint account signs; a copy of the levy and bank records are attached. Its instructions say claims are due “within one year of the date the claim accrues,” while IRM 5.11.4.9.1 says “within one year after the fees are charged.” IRM 5.11.4.9.2 adds that there are no appeal rights if the claim is denied.

When a copy of the levy arrives

Points from IRS and TAS pages:

The phone number. Publication 594 lists the number on the levy notice or 1-800-829-1040 for individuals. In an IRS bank levy FAQ, an elderly mother whose account was levied for the debt of a child added as a signer, or her power of attorney, calls the number on the Form 668-A to show the funds are hers.
The holding period. IRM 5.19.4.3.10 says the taxpayer may give reasons for a release during the 21 days.
Appeals. Per TAS, a Collection Appeals Program appeal is available before or after a levy, and a hearing may still be open if the time allowed has not passed.
The notice that should have come first. Before a first levy, IRM 5.11.1.3.2 requires the Notice of Intent to Levy and the hearing notice at least 30 days ahead, which the IRS sends as the LT11 or Letter 1058.

When an attorney matters

Under Publication 594, attorneys, CPAs, enrolled agents, immediate family members and others enrolled to practice before the IRS may represent a taxpayer in collection, using Form 2848. Under IRM 5.11.2.2.7, centrally mailed levies generate a copy for a power of attorney authorized for every module on the levy. Differences:

District court suits. A § 7426 wrongful levy suit is a civil action against the United States, and Publication 4528 says a person choosing that route “should consult with an attorney to determine the proper procedure.”
Privilege. Section 7525 gives CPAs and enrolled agents attorney-like confidentiality only in noncriminal tax matters.

See the overview of what an IRS tax attorney does.

Related guides

Frequently Asked Questions

Who receives Form 668-A?

The bank or other third party holding the taxpayer’s property, such as a credit union, a customer that owes a business money, or a card processor. The taxpayer gets a copy afterward, such as Form 8519.

Does Form 668-A take money deposited after it arrives?

Generally no. Section 6331(b) limits a levy to property and obligations existing when it is made, and Treasury Regulation § 301.6331-1 says a later deposit can be reached only by a new levy.

Does every Form 668-A come with a 21-day hold?

No. The § 6332(c) hold covers bank deposits. IRM 5.19.4.3.10 says money a card processor holds for a merchant is not a deposit, so it is paid on the merchant contract schedule.

Can a joint owner or other third party contest a Form 668-A?

Yes. Before the funds are turned over, TAS describes a Collection Appeals Program request. Afterward, Publication 4528 describes a wrongful levy claim under § 6343(b), due within 2 years from the date the notice of levy is delivered.

What happens to a bank that ignores Form 668-A?

Under § 6332(d) it becomes personally liable for the value not surrendered, up to the tax, plus a 50 percent penalty if it lacked reasonable cause. A bank that complies is discharged from liability to the depositor under § 6332(e).

Discuss a Form 668-A with an attorney

A free, confidential evaluation can review the levy copy and the release or claim routes the law provides.

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About the Author

Ray Neu

Ray Neu is the publisher of IRSAttorneys.net. A former law enforcement officer with a background in criminal justice and digital publishing, he oversees editorial direction, partnership standards, and compliance review for the site. He is not an attorney and does not provide legal advice; all tax law content is sourced and reviewed against the standards documented on the Editorial Team & Standards page.

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Results described on this website are not a guarantee, warranty, or prediction of the outcome of any tax matter. Every situation is different. Prior results do not guarantee a similar outcome. Article content reflects general information about federal tax procedure as of the last reviewed date and may not reflect subsequent changes in IRS policy, regulations, or case law.