Taxation & Estate Planning

IRS Paycheck Levys

By Darrin Mish

If you have in hand the dreaded IRS Notice of Intent to Levy Wages notice, you need help to resolve your IRS Problems.  You will need to take action soon or you will not have control of your money.  This stressful financial and emotional situation will affect you and your family. 

Notification

The IRS uses a sequence of letters to notify you of its intended actions. 

•    Reminder Notice - This is a common letter sent by the IRS.  It is the first reminder that you owe the IRS money.
 
•    Second Reminder Notice – The second reminder also includes notification to your spouse.  It notifies your spouse that you either have not filed a tax return or that you owe taxes and the amount that you owe. 

•    Notice of Amount Due - This letter indicates the amount of tax that you owe including the penalties and interest that has accrued.  Consider this letter a notification that this amount needs to be paid.

•    Important – Immediate Action is Required – This letter informs you that now is the time to pay your tax debt.  It is usually the last reminder notice you will receive before the IRS Levy Notice.

•    Urgent!  We intend to Levy on Certain Assets.  Please Respond Now – This letter is a warning that the IRS will soon be garnishing your paycheck.  It is also your first notification that funds will be taken from your bank account.  It is usually sent via certified mail.  Your next notification will be the Final Levy Notice.  Now is the time to take action to prevent a levy.

•    Call Immediately – Final Notice of Intent to Levy – This letter is your final letter from the IRS.  A response from you to this letter requesting a Collection Due Process Hearing is necessary.  If a hearing is allowed, levies and garnishments will stop until the hearing.  This will give you extra time to make arrangements for payment of your back taxes.

•    Notice of Levy on Wages, Salary and other Income – This letter notifies you that your paycheck has been garnished.  It also notifies you that your bank account has been levied.  This means that your money is now no longer available to you.   

As you can see, if you fail to respond to these letters, you soon could find a levy on your paycheck. 

Our office will assist you with paycheck levys or any other IRS Problems you may need help with.  Contact us so we can get your money back in your hands.  Call us today tollfree at (888) 438-6474. 
 

Full post as published by IRS Problem Solver Blog on April 18, 2008 (boomark / email).