A levy on your property is
the IRS's way of getting your attention. Chances are, you have been unable to
resolve your tax problem to
the IRS's satisfaction. It could be that you have ignored them or they are just
plain being unreasonable. The levy could have been generated automatically by
the IRS's Automated Collection System (ACS) or most likely, a Revenue Officer
issued it.
This type levy generally only attaches to the specific property or rights to
property existing at the time it was received. For example, if the levy is on a
customer, the levy only attaches to any outstanding invoices at the time the
levy was served. Invoices received even hours later are not affected. However as
a practical matter, your customer will be very cautious about paying you until
the matter is resolved. The bottom line is - this levy must be lifted!
The levy on wages is the IRS's way of getting your attention. Chances are, you have been unable to resolve your tax problem to the IRS's satisfaction. It could be that you have ignored them or they are just plain being unreasonable. The levy could have been generated automatically by the IRS's Automated Collection System (ACS) or a Revenue Officer may have issued it.
This type levy is a "continuing" levy - which means it will attach to every pay check until it is lifted or you leave your current employer. Under this type levy - the IRS "allows" you a certain amount to live on based on your filing status and exemptions claimed, and they take the rest. Usually, you are not left with enough to pay your bills. The bottom line is - this levy must be lifted!
The levy document itself will indicate who issued the levy. You will need to contact the person identified on it. This will be a Revenue Officer or Automated Collections. When you call, they will ask you if you can full pay the account - most likely the answer will be no. Therefore, there are only three options: (1) the account can be declared currently not collectible (2) you can enter into an installment agreement, or (3) you can file an Offer in Compromise. Click below for details.
In each of these cases you will be required to complete a Collection Information Statement (Form 433-A or 433-F) or provide financial information over the phone. The purpose of this form is to identify seizable assets and income with which to pay the taxes. The way this form is completed or the answers you provide over the phone are critical. I recommend that you let an experienced professional do it for you. If you do it yourself - please take your time. Do not ever let the IRS do it for you!
If this levy is creating a hardship such as preventing you from buying food or paying your rent, mortgage, electric bill, etc., then you should tell the Revenue Officer or person at ACS that this is the case and ask for immediate relief. If they will not grant it, then you should follow the procedure to request an appeal of the levy. If you are still not successful, you should file an Application for Taxpayer Assistance Order using Form 911 or contact IRSOS.com for immediate assistance. We guarantee a release of levy.
Special note: The IRS will not release a levy if you have unfiled tax returns. We are experts at quickly preparing unfiled tax returns for levy release. Contact us today to start that process.
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