| So you received an IRS wage levy? A wage levy is | | | | 3. File for an Offer in Compromise - An offer in |
| one of the harshest collection mechanisms used by | | | | compromise allows a taxpayer to settle their taxes |
| the IRS. If you are slow to act on this the IRS can | | | | owed for far less than the total amount. The only way |
| leave you with little money to pay the remainder of | | | | to qualify is if you meet a strict set of requirements |
| your bills. The wage levy will remain in place until the | | | | and go through a complicated tax filing. If you are |
| IRS has collected enough money to pay off your | | | | considering this method, you should consider hiring a |
| entire tax liability, until you have reached another form | | | | tax professional to analyze your situation to see if you |
| of arrangement with them, or some other | | | | are a likely candidate and then let them handle the filing |
| "miscellaneous factor" has come into play to force | | | | on your behalf. |
| them to stop the levy. Below are 5 ways you can | | | | 4. Prove Financial Hardship - This is one of those |
| legally stop a wage levy. | | | | methods that are a "miscellaneous factor". This does |
| | | | not solve your tax problem, it only postpones it but it |
| 1. Pay Taxes Owed in Full - This is the most obvious | | | | will temporarily halt collection actions. The IRS will then |
| way to stop a tax levy. Once taxes are paid in full the | | | | reassess your situation at some point down the road |
| IRS will immediately halt collection actions and remove | | | | to see if your financial situation has improved enough |
| the levy. Most likely you cannot pay in full because you | | | | for them to begin collection actions again or require |
| do not have the money. If you don't have the money | | | | you to pay in full. |
| you can consider borrowing from friends, selling some | | | | 5. Quit your job and find another one - Once you quit |
| assets on eBay, taking out a loan, paying on credit | | | | your job the IRS obviously has no more income to |
| card or even refinancing your home. If none of these | | | | garnish. If you were to find another employer it would |
| seem feasible, that is OK, the IRS has many other | | | | likely take the IRS several months before they can |
| mechanisms to pay back taxes owed. | | | | start to garnish those wages. This could buy you |
| 2. Enter into an Installment Agreement - An installment | | | | enough time to setup some other sort of agreement |
| agreement will allow you to pay taxes owed over a | | | | with the IRS while the IRS is trying to find you. |
| period of time in monthly increments. Once you have | | | | No matter what your situation it is highly suggested |
| you installment agreement accepted you will be | | | | that you hire a tax professional to analyze your |
| considered to be in good standing with the IRS. You | | | | situation and figure out what the best method would |
| will remain to be in good standing with the IRS as long | | | | be for you to use. A tax professional can prepare and |
| as you are on time and in full with your monthly | | | | handle all negotiations on your behalf so you don't |
| payments. If our installment agreement request is | | | | have to. |
| accepted your IRS wage garnishment will be stopped. | | | | |