Bank Levy or Seizure

How to Stop the IRS from Seiz­ing your Property

IRS property seizure

Obvi­ously, the eas­i­est way in stop­ping the IRS from seiz­ing your prop­erty or rights to prop­erty is by pay­ing the taxes you owe. In today’s econ­omy, how­ever, it is not sur­pris­ing if tax­pay­ers could not afford to fully pay out­stand­ing tax lia­bil­i­ties. In its notices, the IRS aggres­sively demands that taxes owed are paid in full by the default­ing taxpayers.

In my pre­vi­ous arti­cle, I explained the dif­fer­ent col­lec­tion activ­i­ties or tools being used by the IRS to col­lect unpaid taxes. The most dras­tic of these is the levy or seizure of the taxpayer’s prop­erty or rights to prop­erty; the IRS can seize wages, com­mis­sions, bank deposits, tax refunds, cars or even a house.

If you’re one of those unfor­tu­nate tax­pay­ers fac­ing an immi­nent levy or seizure, don’t despair as it is not the end of the world. As aggres­sive as the IRS is in col­lect­ing unpaid taxes as man­dated by the U.S. Tax Code, the same Tax Code pro­vides reme­dies on how to pre­vent, stop or release gar­nish­ments, levies and other col­lec­tion activities.

Should a tax­payer fail to pay taxes when due (usu­ally at the time of fil­ing tax returns or at the time set after an audit becomes final), the IRS will issue tax assess­ments and send a bill. In the event a tax­payer fails to pay within the required period, the IRS will send a Notice of Intent to Seize Prop­erty which will even­tu­ally lead to a final notice if the taxes due are still unpaid after 10 days from the date of the notice.

The final notice is the warn­ing that the IRS will levy or seize your prop­erty, gen­er­ally after 30 days, if within the said period you still fail to set­tle your tax debts. A tax pro­fes­sional can help you pre­vent this from hap­pen­ing by nego­ti­at­ing set­tle­ments with the IRS; this will effec­tively stop any impend­ing col­lec­tion activity.

Along with our tax defense ser­vices, Tax Release Inc can ini­ti­ate on your behalf a so-called Col­lec­tion Due Process Hear­ing to review any pro­posed col­lec­tion action or nego­ti­ate an afford­able install­ment agree­ment (IA), which will allow you to pay the taxes you owe over a period of time; file an appli­ca­tion for an offer in com­pro­mise (OIC), which will allow you to pay the taxes you owe at a reduced and much smaller amount; or sus­pend col­lec­tion of the taxes you owe for a period of time until such time you are able to pay them in full or via an IA or OIC.

Under any of the above actions to be under­taken by a tax pro­fes­sional, col­lec­tion actions will stop and pro­vide you with much needed respite from stress­ful enforce­ment actions by the IRS. Also, if a levy, wage gar­nish­ment or any other col­lec­tion action, such as a fed­eral tax lien, has already been under­taken or issued, Tax Release Inc. will for their release or removal.