As bad as the bank levy is, the wage levy (Garnishment) is much worse.
The bank levy is a one shot deal. Meaning that the IRS must issue a new Bank Levy every time they want to clean out your bank account. This repeated effort on their part isn’t necessary with the Wage Levy or Garnishee. It’s designed to bring you to your knees.
Once a Wage Levy is issued, IRS requires the employer to immediately start withholding everything you earn above a pitifully small amount they leave you to try and survive on. At this point, you are trying to pay both current and old tax liabilities at the same time. Wage Levies often result in you receiving only a few hundred dollars per pay period. It is impossible to pay your bills and eat on the pittance they leave you out of your earnings.
IRS knows that Wage Levies cause all types of harm to you and your family, yet they mail out thousands every day.
Having IRS problems gets old
There can be no real rest and relaxation until your IRS problem is completely solved. It’s hard to keep a good job or get your credit report cleaned up when the IRS continues to issue Federal Tax Liens and Levies.
Without a bank account it’s difficult to cash your checks or even pay your monthly utility bills. Even if you’re lucky enough to have a bank account, you have to always worry about the IRS wiping out all of the money in the account without notice.
Some taxpayers with IRS Problems have just a few assets they want to hang onto. Then the IRS pulls out all of the stops. They simply seize your assets and sell them at auction!
Getting the IRS serious enough to seize your assets is not that difficult. Taxpayers with IRS Problems can end up losing everything to the IRS. For example:
- Autos, Boats, & Motorcycles
- Real Estate
- Retirement Funds
- Insurance Policies
- Antiques, Collectibles, & Jewelry
All of these items may be very personal or sentimental in value to the taxpayer. IRS could care less. If the taxpayer will not agree to whatever the IRS wants, then they risk having their assets seized. Do not underestimate an IRS employee’s ability to follow through on the threat of seizure. Every IRS office in the country has a public list of recently seized assets and details about the upcoming IRS auction to sell those seized assets.
It is important to pay the taxes you owe to the IRS as non-payment can negatively impact your life. Do you have questions about bank levies or garnishments? Consult an experienced Enrolled Agent for assistance in dealing with these issues and avoid them in the future.
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Stephen Wallick started Stephen Wallick & Associates to provide tax and accounting services to Contractors, Real Estate Investors, and Realtors. Steve specializes in IRS Tax Resolution services and works with his clients to resolve cases under scrutiny by the IRS. As a tax professional and enrolled agent, Steve can save you money with IRS loopholes each year. With over 20 years going up against “The Man”, Steve is uniquely qualified to resolve even the toughest IRS cases.