An IRS levy is a collection tool used to obtain funds from a taxpayer who owes taxes to the Government. However, a levy of a bank account, other property or wages that creates or worsens a financial hardship of the taxpayer is illegal by law, and the IRS must provide a release of levy to the taxpayer under those circumstances. The taxpayer is obliged to show the IRS that a financial hardship exists. It is important to provide the correct information to prove a hardship the first time, otherwise the task of proving a hardship may be unduly difficult. It is more difficult to disprove an idea or suspicion mistakenly planted in the mind of an IRS revenue officer by providing confusing, unclear or indefinite documentation to the IRS. We have been successful at obtaining numerous releases of levies. If you would like a free phone consultation pertaining to a levy release, please call us at (201)488-0070.
Before a levy can be issued against your property or income, the IRS must provide you with notice that they intend to levy. You must be provided with a thirty day period within which you can appeal the IRS's intent to levy. The appeal is called a collection due process appeal (CDP); to read the regulations pertaining to such an appeal click here.
To read other advanced materials pertaining to levies, click here.