Wage Garnishment

    One way the Internal Revenue Service will seek payment of an outstanding balance is to take a share of your wages until your tax liability is paid in full. This is called IRS wage garnishment. After the IRS takes their share, there usually is not enough left over to pay the rent, car payment, buy groceries or pay the rest of your bills.

    Before the IRS can garnish your wages or any other source of income, the IRS must issue a “Final Notice Of Intent To Levy And Notice Of Your Right To A Hearing” to the taxpayer allowing up to 30 days from the date of the Final Notice to pay in full or to find another solution. Ignoring these notices or doing nothing will only make matters worse.

    A tax settlement attorney can analyze your situation to find the best course of action for you and avoid a tax levy on your wages. Once the 30 days has passed, the IRS does not have to give any further notice before seizing your wages and other assets.

    Don’t wait before contacting one of our tax lawyers. A timely filing within 30 days of the date on the Final Notice for a Collection Due Process hearing with the Office of Appeals, would stop the levy and allow us to discuss and resolve your case with an Appeals Officer.

    Some of the issues on appeal may include:

    • You paid all you owed before IRS sent the levy notice
    • IRS assessed the tax and sent the levy notice when you were in bankruptcy, and subject to the automatic stay during bankruptcy
    • IRS made a procedural error in an assessment
    • The time to collect the tax (called the statute of limitations) expired before IRS sent the levy notice
    • You did not have an opportunity to dispute the assessed liability
    • You wish to discuss the collection options
    • You wish to make a spousal defense

    At the conclusion of the hearing, the Office of Appeals will issue a determination. We would then have 30 days after the determination date to bring a lawsuit in Federal Court to contest the determination.

    If you decide to do nothing or fail to timely file a request for a CDP Hearing, the levy we commence immediately and will end when:

    • The levy is released
    • You pay your tax debt, or
    • The time expires for legally collecting the tax.

    Let us evaluate your case; to find out more, please contact us. Or call us toll-free at 866.494.6829. Tax assistance is available to you. Let the Law Offices of Jeffrey B. Kahn, P.C. help solve your IRS problems.

    The Importance of Avoiding Tax Liens

    /
    If you have recently received notice that there is a tax lien…

    Time Limits on IRS Collection Efforts

    /
    Once you have an assessment our outstanding balance with IRS,…

    Appealing the Results of a Tax Audit

    /
    Every taxpayer who is being examined in a tax audit has the right…

    What to do if you failed to declare your closed foreign bank account that was open within the last six years?

    /
    Even though you may have closed your foreign accounts years ago,…

    Classification of Taxpayers for U.S. Tax Purposes

    /
    U.S. law treats U.S. persons and foreign persons differently…

    Disclosing Foreign Bank Accounts Through the OVDI Program

    /
    A taxpayer who has not disclosed foreign bank accounts to the…

    Beware the Potential Tax Pitfalls of Investing in Offshore Mutual Funds – “PFIC” Concerns

    /
    U.S. persons ought to be aware of the potential tax heartaches…

    Avoiding Penalties Through the First Time Abate Policy

    /
    Taxpayers who are facing a potentially large IRS penalty for…

    Amending a Filing Will Not Trigger an Audit

    /
    There is a common belief that if you amend your tax return, you…

    Warding Off a Tax Levy with a Payment Plan

    /
    If you owe more in taxes than you can afford, you have several…

    The Pros and Cons of an Installment Agreement

    /
    Owing back taxes doesn’t mean that you have to live in fear…

    Using an Offer in Compromise to Avoid a Tax Lien

    /
    Working with a tax lawyer in Los Angeles to reach an Offer in…