Are you looking to get the Federal Tax Levy on your bank account or wage levy released immediately?
The IRS serves about 3.8 million tax levies a year. They get the levy information from your tax return or from third party sources that have reported tax information on you, such as your employer via W-2 or a bank that you have used. The bank reports the information on a 1099 interest form and sends it to the IRS.
Follow these golden tips to get your levy released as soon as possible:
As soon as you get your notice of levy, be prepared to call the IRS. However, before you start make sure all your tax returns are filed. If your tax returns are not filed and up to date, the IRS will not release the federal tax levy on your bank account or your wage levy until they have proof that your tax returns are filed.
The IRS uses the leverage of the levy to make sure all your tax returns are filed.
What happens if you do not have your tax records to prepare your tax returns? Simply request transcripts by calling 1-800-908-9946. Ask the IRS for your income transcripts. They will send you all the reported income they have on file that has matched your social security number.
This is only information the IRS has on file. You may have had other income and want to hire a former IRS Agent who knows how to prepare reconstructive tax returns to get your returns processed as soon as possible. Fill out a 433-F. This is an IRS financial statement. The IRS will want all documentation to prove the income and expenses that you list on the financial statement. After you have all that ready, call the IRS at the number shown on your Federal Tax Levy. Once they have the financial statement they will be able to give you a settlement based on the information provided. The IRS usually closes their cases in one of 3 ways:
- IRS will put your case in Hardship
- IRS will set up a payment plan
- IRS will accept the filing of an offer in compromise.
There are many traps and tricks the IRS uses to discover income and assets. After working for the IRS for 10 years and being a former IRS Instructor, you should not give the financial statement to the IRS unless a seasoned professional gives you the go ahead. It must be accurate.
In essence, once all tax returns are filed and you have your 433-F and all the documentation ready to go, call the IRS and start the negotiation process to settle and close your case.
