If you or your child has ever played the game “Sims”, then you know what happens when you fail to pay your bills on time. The Repo man comes and zaps your couch into nonexistence with a laser gun! It’s a traumatic moment for your Sims, but one that can be rectified with time and a few more Simoleons (Sim currency). IRS seizures, or liens, don’t work quite the same way of course, but the end result is similar: They will take what they are owed. How can you stop a tax seizure? First, let’s look at the pre-seizure process.

The IRS has a three-step process to ensure that you are adequately notified that they intend to seize your property and/or pay. This is intended to allow you to appeal or contest the tax levy. You’ll receive a “Notice of Demand for Payment,” a “Final Notice of Intent to Levy and Notice of Your Right to a Hearing,” and then if you don’t respond, the IRS can place a levy on your wages or tax refund, or even take your property (house, car, boat, maybe even your couch).

However, you have multiple opportunities within this process to work out a deal to repay your taxes, so it likely won’t come down to a seizure of property. You can request a Collection Due Process hearing with the IRS Office of Appeals if you disagree with the IRS’s tax assessment or the seizure of your assets – and if you choose this route, you really should have a tax attorney on your side.

The IRS doesn’t really want your stuff – they just want to be paid. The first places they’re likely to look for money are your wages and tax refunds. They can place a levy on one or both of these until you pay your tax debt in full, or the statute of limitations expires. And, although it’s rare, they can also go after your bank account, and even personal property inside your home.

You don’t have to watch the IRS take your money or property. Let’s Meet On TaxConnections.

Original Post By:  Barry Fowler