Getting an IRS Tax Levy Released

A bank levy is a nasty tool the Internal Revenuehardships might be upcoming medical expenses, utility
Service has at their disposal to use against taxpayersshutoff notice, foreclosure, repossession, business
they believe owe them money.payroll, or eviction. If the Internal revenue Service does
The IRS issues a notice of it to the person's bank. Thisagree to a release because of one of these hardships,
notice requires the bank to freeze the party's assetsthey generally allow only the release of enough funds
for twenty-one days. During these twenty-one days,to cover the expense.
the taxpayer or their representative can negotiate withYou can also get it released through an Offer in
the IRS for release of the levy. If no compromise isCompromise. However, such a release can only take
reached, after twenty-one days the money in theplace after the Internal Revenue Service has
accounts remits to the IRS.determined that the Offer in Compromise meets all
Any money deposited after the levy remits is theprocedural requirements. You can never be certain
property of the account holder. If the IRS wants thishow long this will take, if it happens at all.
additional money, they have to file another levy in orderThe truth of the matter is that the IRS strongly
to get it.believes in the philosophy of "a bird in hand" and that to
The Internal Revenue Service can file an income levyget a levy released you are going to have to do a lot
as well. It will not be released until all the funds are paidof work and, most likely, hire a professional to help you.
either in full, through an Offer in Compromise, anIf you find your income or your bank accounts under
installment plan, or if the taxpayer is declared Currentlyan IRS Levy, you will want to contact a tax attorney
Not Collectible.or tax resolution specialist immediately. Tax resolution
Because a bank levy is generally a one-time event,teams are usually made up of former Internal
IRS will not release it unless payment in full is satisfiedRevenue Service Agents, CPAs, and tax attorneys. In
or the taxpayer can prove "extreme financial hardship".this situation it is going to take the work of these
You have extreme financial hardship if the funds in theprofessionals if you have any hope of releasing the
bank are necessary to the taxpayer for their healthInternal Revenue Service's Tax Levy against you.
and welfare, or generation of income. Some of these