IRS wage garnishment is a legal way for the IRS to collect your tax liability without you directly paying them. The IRS contacts your current employer and tells them that your wages are to be garnished. If your employer fails to take out a portion of your wages and send over to the IRS then your employer will be held liable for the amount that was not garnished. So once your employer receives this notice you can be assured that they will do as they are told. The IRS can garnish salaries, wages, bonuses, commissions and possibly even retirement or pension earnings. The IRS typically will garnish up to 25%+ of a taxpayers income once a garnishment is implemented. So if your current paycheck is $1,000 that then becomes $750. There are exceptions for high earners though. The IRS does not care if this leaves you without enough money to pay the rest of your bills. Typically they will seize as much money as they can and leave you with just the amount that is set forth by the tables of allowable expenses, which is likely a lot less than you typically spend. This levy will remain in place until the IRS has seized enough of your income to satisfy your tax liability plus interest and penalties or until you have come to some other sort of agreement with them.

When the IRS Will Impose a Wage Levy and Garnish Wages

A tax levy is typically the next collection step following a tax lien. Sometimes the IRS can skip the tax lien and begin to levy depending upon how they assessed your situation and likelihood of collecting. Depending upon your work situation and financial situation the IRS will decide which levy is appropriate for you. The IRS can legally seize any form of personal property. This means they can take your wages, bank accounts, SSA benefits, travel advances, commissions, property, rights to property and anything else the IRS thinks they can use to cover your tax debt. If you are a salaried employee there is a good chance that they will implement a wage levy in which they will garnish your wages. In order for the IRS to begin the levy the following three requirements must be met:

• The IRS assessed a tax liability and sent you a notice to demand payment
• You neglected or refused to pay the tax amount that was assessed
• The IRS sent you a final notice of intent to levy and notice of your rights to a hearing at least 30 days prior to the levy

The IRS will send these notices to your last known address or they will deliver them by mail or in person to your home or to your place of work. Once you receive this final notice the IRS will begin to levy no sooner than 30 days after you received the notice. The IRS hopes that in these 30 days you will find another form of resolution to settle your outstanding tax liability.

One thing to remember is that the IRS does not like to impose wage levies. These levies are costly to the IRS but they find them extremely effective as a scare tactic in order to make taxpayers pay their taxes. If they give you a notice of levy, they will hold up their end of their threat unless you pay your taxes or come to some other form of tax settlement. If you are being threatened by a levy it is highly suggested that you act quickly and talk with a tax professional in order to stop or remove the tax levy.

First we will do a tax analysis to determine the root of the cause and the best solution, depending upon your financial, tax and work situation.

Our Objective is to resolve your tax situation and stop the levy immediately. We will find a reasonable solution between what the IRS wants and what the taxpayer can reasonably deliver. In Rare Cases it is not possible to stop the Tax Levy Immediately, So the taxpayer will be advised on a course of action to Stop The IRS Wage Garnishment / Tax Levy effectively and if necessary increase the amount of time to resolve the underlying tax debt while still receiving there normal paycheck.

Normally the IRS wants all the taxes paid in full before they release the IRS Wage Garnishment, but for many taxpayers this is not an option, below are the options that we will take to get the IRS wage garnishment released.

The following actions are the tools that we use to have your IRS wage garnishment released.

Filing the proper forms so that the Taxpayer is Declared Uncollectible.  Having this designation assigned to the taxpayer is the silver bullet in eliminating all tax liabilities in the immediate future and stopping all collection activities by the IRS in the interim. The IRS will not tell the taxpayer that this is actually an exercisable option. there duty is to collect taxes not assist taxpayers in avoiding there tax liabilities. We will file the proper paperwork and have this designation assigned if the taxpayer meets the prerequisites of this determination. The IRS may review this determination at anytime in the future to determine if a financial climate exists to repay the outstanding tax debt.
1. Determine If the Taxpayer Qualifies for An Offer In Compromise. Many Taxpayers have heard of an Offer In Compromise even if it was just in passing. The taxpayer must once again qualify for this option for it to be effective, because it totally wipes out the entire tax debt in one faithful action. Contrary to popular belief this option is very viable if you have little or no physical assets and very little money in the bank, we would offer the IRS The small amount of money in the bank and show them that there is little or no assets and upon our pre-qualification the entire tax debt will be eliminated by the IRS. If you have an IRS Wage Garnishment Engaged this will temporarily delay it until the Offer In Compromise is reviewed and accepted, Although if the filing of the Offer In Compromise has no real legitimate are reasonable chance of being accepted the IRS will immediately reinstate the Wage Garnishment and move forward with Implementation of IRS Collection Doctrine.
2. Negotiate with the IRS for An Installment Agreement. We will negotiate with the IRS so the taxpayer can reasonably repay there tax debt while maintaining and receivng there full income. Much like a car loan the IRS will accept payments but the Taxpayer can not default on this agreement, Once the Installment Agreement has been engaged the IRS Wage Garnishment will stop and all income will be received by the Taxpayer as long as the payments to the IRS are received within the Guidelines set forth in the agreement. Failure to adhere to IRS guidelines will subject the Taxpayer to re-negotiation of the Installment Agreement and possible additional IRS Penalties.
3. Paying your Taxes in full will stop an IRS Wage Garnishment/Tax Levy Immediately and put you in good standing with the IRS.
4. Call Us Now For A Confidential Consultation