If you owe the IRS for unpaid taxes, the moment you have been dreading will eventually arrive. IRS will send you a “final notice of intent to levy,” and you should consider this a serious threat of possible seizure of your property. Your best course of action is to consult with an experienced tax resolution attorney as soon as possible. Once notice is given, you have very little time to remedy the situation before the IRS takes action to seize your property.
It is not uncommon for contractors, self-employed individuals, and people in various professions to run into trouble with the IRS. If you have unpaid taxes, years can go by before the agency takes any action, but once the wheels are in motion to seize your property, you need skilled legal assistance to stop the process.
IRS Bank Levies
Under IRC 6332(c), as stated by the IRS, banks must wait 21 days without taking any action after an IRS levy is served — holding the funds in your account up to the amount of the levy. On the following business day after the 21 days have passed, the bank must turn over the taxpayer’s money to the IRS.
After being served with a levy, the bank is required by law to turn over all funds in the taxpayer’s account up to the amount of the levy. If a bank levy is served for $10,000 and the taxpayer has $10,000 in the account, the bank is required to give the entire $10,000 to the IRS at the end of holding period.
Take Action to Halt IRS Bank Levies
Don’t ignore a final notice of intent to levy from the IRS. If you have already received notice, you can be assured that the agency will continue moving forward, and before much time has elapsed, IRS could be taking money directly out of your bank account to cover your past due taxes, along with interest and penalties.
Various methods can be employed to halt bank levies. However, it is important to be proactive and take action right away to avert this potentially dangerous situation.
Strategies to Prevent IRS Seizure of Property
The first step to take is a thorough review of your tax situation. We never discount the possibility that IRS could be in error and you may not actually owe as much as the agency says. Strategies our California tax resolution lawyers may employ on your behalf include:
- Negotiating with IRS to arrive at an installment agreement you can manage;
- Challenging the amount of taxes due that IRS has assessed against you;
- Stopping all collection actions by arranging an offer in compromise;
- Working to stop IRS threats until your financial situation improves if your tax debt is uncollectible.
Don’t sit back and let IRS take all your hard-earned money and seize your property. Our California tax resolution attorneys have the knowledge and skills you need on your side to level the playing field. Contact at Jaurigue Law Group today for a free consultation to discuss your tax situation.