| Don't let your tax debt become a bank levy. The IRS | | | | 21 day period. You will have to get the services of a |
| does give a warning that they intend to levy your | | | | tax professional [ such as a tax attorney or CPA to |
| account. It will come in the form of a certified letter | | | | work on your case, and negotiate with the IRS to get |
| from the IRS and lets you know that the IRS will levy | | | | the lien removed. |
| your bank account and withdraw funds to pay your | | | | Prove to the IRS that levying your bank account will |
| debt. | | | | cause you undue hardship. The IRS is not without pity. |
| If you hadn't setup something to take care of your tax | | | | If you can prove that you can't pay basic expenses, |
| debt already, then you have to act now! Once you | | | | and you living situation would be jeopardized by the 21 |
| receive that "intent to levy" letter your chances of | | | | day hold period, you can get the IRS to not take the |
| preventing an IRS bank levy goes down every day | | | | basic amount of money you live on out of your |
| that you don't act. | | | | account. The burden of proof is on you when dealing |
| Get a short stay of execution. You can submit a form | | | | with the IRS, and you will have to submit to a thorough |
| 12153 to request a Collection Due Process Hearing. | | | | financial investigation for the IRS to determine what |
| This will give you 30 days from the time you got the | | | | your basic living expenses would be. You should know |
| intent to levy letter to negotiate with the IRS for an | | | | that this is a last ditch effort, and the IRS will still levy |
| alternate method to pay on your debt. This can include | | | | some, but not all of your money from your bank |
| such payment plans as: an Installment agreement, an | | | | account. |
| Offer in Compromise, or a Penalty Abatement for | | | | Don't let this happen to you. This isn't so much a step |
| your IRS tax debt. During the time you're negotiating | | | | as it is my final warning. If you put off dealing with your |
| with the IRS they will temporarily suspend any levy | | | | debt, and ignore the above solutions then the IRS will |
| activity. | | | | levy your account for 21 days, and during that time you |
| Once the IRS levies your bank account you still have | | | | will not be able to access any of your money. Once |
| 21 days to work something out before the money is | | | | the 21 days are up your bank must send the |
| taken. However during the 21 days after the IRS has | | | | requested funds to the IRS. After the 21 days the |
| levied you bank account you can't access your funds, | | | | bank levy is lifted, and the IRS has taken as much as |
| and you chances of keeping the IRS from emptying | | | | they can from your account. |
| your account is growing very slim indeed. | | | | Don't let the IRS scare you and don't make the |
| Once the IRS has seized your account you have to | | | | mistake of thinking the IRS only makes idle threats. If |
| act quickly. If you had already tried to negotiate and | | | | you do receive an "intent to levy" letter then you must |
| didn't get anywhere with the Collection Due Process | | | | deal with it immediately. |
| Hearing, the IRS isn't going to work with you during the | | | | Now you have the smoking gun...Use it! |