Copyright 2011 Tax Settlements, Inc., Salt Lake City, UT (801) 233-1040 All rights reserved.
When the IRS has been unable to collect back taxes directly from
you, they have the authority to seize your assets. Among the
various assets the IRS can seize are bank accounts, investment
accounts, equipment, accounts receivable, property, and other
sources of income. The process to seize your assets is called a
levy.
The levy process begins after the IRS
has attempted to contact and notify
you through certified mail at ten, thirty,
and sixty day intervals. The results of
a levy are not only financially
devastating, but can become
burdensome to your relationships with
vendors as well. The person,
company, or institution that is served the levy to seize your
accounts must comply or they too may be faced with legal issues.
The additional paperwork that is incurred as a result of the levy
being placed on your accounts may cause strain on the relationship
with your vendor. Suddenly what was a personal matter between you
and the IRS now becomes very public.
Bank levies are one of the most aggressive tactics used by the IRS to collect the back taxes owed. When
the IRS levies a bank account, the bank is required to seize the maximum amount of funds available to pay the tax
debt. The funds are then held in an escrow account for 30 days. After 30 days, the bank will remit the funds to the
IRS unless otherwise notified. When the IRS levies a bank account, the levy is only for the day the levy is received
by the bank. This type of bank levy does not impact any future deposits made into your bank account, unless the
IRS issues another bank levy.
Levies can be reversed quickly!
So how do you get the funds that were taken replaced? How do you get the IRS to reverse the levy? A levy usually
occurs as the result of little or no communication between you and the IRS. Due to the previous lack of
communication between you and the IRS, combined with the severity and complexity of any case involving a bank
levy, the best solution is to seek professional representation. Remember that interest and late penalties will continue
to accrue until the balance is paid in full so it is essential that the levy be resolved as quickly as possible.
Get the personalized tax settlement assistance you need and deserve
Tax Settlements Inc. offers a FREE consultation and evaluation to review your tax debt relief options. During your
consultation, we will present several workable options to help resolve your tax debt, and assign you a personal tax
relief professional. Your tax relief professional will be your singular point of contact from start to finish. They will
work with you every step of the way to patiently bring your tax debt burden to a close.
At Tax Settlements, Inc. you won’t get the run around, your call won’t be transferred to various individuals. You will
always know the status of your case. You will always receive prompt and courteous service. Schedule your free
phone consultation with Tax Settlements, Inc. Free in-person consultations are also available in our Salt Lake City
office.
Raymond L. Warner
Certified Public Accountant
