IRS Debt Collection

The IRS has a variety of methods it can use to collect delinquent tax debt. If you don’t voluntarily resolve your tax debt problems you may face IRS levies, wage garnishments, or other IRS enforced collection actions.

Key Insights We Will Discuss:
Ways the IRS can collect delinquent tax debt.
Your options when facing an imminent levy.
How to avoid each type of IRS collection action.

Bank Account Levies
The IRS can levy the entire balance in your bank account up to the amount you owe in back taxes, penalties, and interest. If you owe more than your bank account balance, the whole account can be seized.

Before a bank levy takes place, you’ll receive a Collection Due Process (CDP) notice. If you request a CDP hearing within 30 days, you can negotiate a deal to avoid the bank levy.
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