There are many options to resolve an unpaid tax liability – you can agree with the IRS to make monthly installment payments, reach a settlement with an offer in compromise, eliminate the taxes in bankruptcy, or have the IRS place your account in currently not collectible status. Let’s focus on currently not collectible. Currently not [...]
Automated Collection Service
Resolving your tax debt often involves providing a financial statement to the IRS that discloses what you own, who you owe, what you make, and how much you spend. Your financial disclosures are required to be made on forms designed by the IRS. There are three forms that the IRS uses: The 433A, which you [...]
You decide to tell the IRS collection representative what you make, give them your paystubs, and innocently list your monthly living expenses. You would like a payment plan, and have some idea of what you can afford. Or you do not think you can afford any payment, and would like the IRS to put your [...]
An IRS wage levy does not have to result in the loss of all of your paycheck. The Internal Revenue Code has exemptions that can protect your earnings from an IRS levy. These “exemptions” are listed in Section 6334 of the tax code, appropriately titled “Property Exempt from Levy.” Think of exemptions as protections [...]
When the IRS gets you with a levy, bad things can happen – your wages are frozen and you are looking at living without a paycheck. The money you need to pay bills is suddenly swiped out of your bank account. This presents an urgent dilemma requiring immediate relief. So, what are the two quickest [...]
My response to a reader’s question about what happens to your bank account after the IRS hits it with a levy. The IRS has levied my bank account and there was not enough funds to cover the total levy. Will the IRS levy all future deposits until it is satisfied or can I continue to [...]
