Law Offices of Maryam M. Golbarg, P.C.
Your Tax Relief Attorney
Tax Solutions
Release Bank Levy And Wage Garnishment
An IRS levy is a legal seizure of your property that you own or have an interest in, to satisfy a tax debt. It is part of the IRS Collection efforts and can be in the form of a Wage Garnishment, Bank levy, seizure of your vehicle(s), real estate and other personal property.
Note that Levies are different from liens. A Lien is a legal claim against your property to secure payment of the tax debt, while a levy actually takes the property to satisfy the tax debt. Below, we discuss the Wage Garnishment and Bank Levy.
What is a wage Garnishment?
A wage garnishment can be the most stressful, humiliating and financially devastating of all collection activities that the IRS may use to force the taxpayers into paying the unpaid tax liability.
If the IRS levies your wages, part of your wages that is not exempt from the levy will be sent to the IRS each pay period until you make other arrangements to pay your overdue taxes, the taxes you owe is paid, or the levy is released. If you have other income sources than your wages, the IRS may allocate the exemptions to the other income source and levy on 100% of the income from a particular employer and seize your whole paycheck.
If you are self-employed, the IRS can serve a notice of levy to the people that pay money to you for your services. Then the people that owe money to you are required to pay all of that money to the IRS.
How does a Wage Garnishment work?
The IRS has unparalleled power over you to collect unpaid tax liability from your wages by serving a “Final Notice of Intent to Levy” to you and then a “Notice of levy on Wages” on your employer.
You probably cannot afford to live on 50% or less of your paycheck. That’s why you should not ignore IRS notices. When you receive a “Final Notice of Intent to Levy” you have 30 days to set up an arrangement with the IRS through a proper resolution or pay the amount due in full before a wage levy starts.
Release of Wage Garnishment
You have to act fast and contact the IRS or someone who can help you with your urgent tax problem. If you have received a “Final Notice of Intent to Levy” or if the IRS already served a “Notice of levy on Wages” on your employer or people that owe money to you, or if you are currently being levied, we can help you. Make sure to let us know when you call us about the urgency of your case.
What is A Bank Levy?
A bank levy is a legal action that allows the IRS to take funds from your bank accounts. The IRS by serving a levy to your bank/s can take all the money in your account up to what you owe to the IRS. Your bank freezes the funds in your account for 21 days (waiting period) up to the amount you owe, and after 21 days is required to send that money to the IRS to satisfy your tax debt.
The 21 days waiting period is intended to allow you time to contact the IRS and arrange to pay the tax liability or notify the IRS of errors in the levy. You must act quickly and take action in these 21 days. You need to make an arrangement with the IRS or prove immediate economic hardship to be able to release the bank levy.
Note that the date and time of delivery of the levy is the time when the levy is considered to have been made. In the case of a bank levy, funds in the account are frozen as of the date and time the levy is received. Normally, the levy does not affect funds you add to your bank account after the date of the levy.
Release of Bank Levy
If your account is being levied, you have only 21 days to contact the IRS or someone who can help you release the bank levy. Let us help you release the bank levy and advocate on your behalf.
Seizure of Assets
The IRS has the authority to seize your assets including, but not limited to, your home, boats, and cars. The IRS also has the authority to seize your business. If you have received a notice from the IRS regarding the seizure of your assets, contact the IRS or someone who can help you with the notice. Let us help you resolve your tax problem and advocate on your behalf.
