How Long Can The IRS Levy On Social Security Benefits?

To levy on Social Security benefits, the IRS generally issues Form 668-W to the Social Security Administration (“SSA”).[i]  After receipt of the Form 668-W, Notice of Levy on Wages, Salary, and Other Income, SSA will withhold future amounts of payments due to the Social Security beneficiary and remit the same to the IRS for payment on outstanding tax liabilities. Often, the question I receive from clients subject to Social Security levies is how long will the levy continue?  This Insight tackles that interesting question.

IRS Levies

After a tax assessment has been made, the IRS generally waits for the taxpayer to make full payment of the assessment or offer payment arrangements (e.g., an installment agreement or an offer in compromise).  But, if the taxpayer fails to do either, the IRS will begin issuing notices to the taxpayer to demand full payment.  Taxpayers who ignore these notices generally do so at their own peril.

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