by Fresh Start Tax | May 10, 2013 | Tax Levy and Wage Garnishments
Bank Levy IRS – Immediate Tax Relief, Levy Releases, Former IRS 1-866-700-1040
If you have received an IRS a Bank Levy, you are not alone.
Last year the Internal Revenue Service sent out 3.6 million bank levies and wage garnishment notices to taxpayers owing back taxes.
The Internal Revenue Service also send out over 900,000 federal tax liens.
The Bank Levy is the major collection tool used by the Internal Revenue Service, and it is a beast. It is the largest collection tool in the world.
If you need immediate tax relief and need a fast and affordable levy release contact us today for a free initial tax consultation and start the process to get your money back from the Internal Revenue Service
To get an immediate release of a bank levy or a wage garnishment by the Internal Revenue Service contact us today and speak directly to tax attorneys, tax lawyers, certified public accountants or former IRS agents and managers.
We can not only get your IRS bank Levy released or removed we can also settle your tax debt with the Internal Revenue Service.
We have over 60 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service.
Our firm has over 206 years of professional tax experience and we are one of the most credible and trustworthy professional tax resolution company’s in the nation with an A+ rated by the Better Business Bureau
We also taught tax law at the Internal Revenue Service and were instructors of new IRS agents.
We know the exact protocol and tax strategies that needs to be employed to get immediate releases of the IRS bank levy.
While employed at the Internal Revenue Service we issued thousands of IRS bank levies so it would only make sense that we would know the process of releasing or removal process.
The IRS cannot immediately remove your money from the bank
The IRS cannot immediately remove your money or funds out of a bank or financial institution.
There is a freeze or holding period on the a IRS Bank Levy.
A bank must wait or hold off for 21 calendar days after a levy is served before sending payment.
On the next business day, it must turn over the taxpayer’s money. The Internal Revenue Service gives the taxpayer 21 days to contact the Service and work out an agreeable plan to get the levy released. Most professional tax resolution firm’s should be able to get your levy released with in this 21 day period.
What is required by the taxpayer to get immediate tax relief
It is critical that the taxpayer send or fax to IRS a current financial statement along with all documentation to start the process to get immediate release of the IRS bank levy notice.If you can do this on the day you get the bank levy notice you will be eligible for immediate release of the bank levy notice and get your tax relief.
The 433F – The IRS financial statement
To get the tax relief you need you will have to fill out a form 433-F, this is the IRS financial statement.
This financial statement is a form 433-F. That form must be completed and sent to the Internal Revenue Service. You must be fully able to support every detail of the financial statement. You can find this form on our website.
The Exact Process of getting a Immediate release of a IRS Bank Levy Notice and get Tax Relief
As a general rule, the Internal Revenue Service has sent out three or four tax notices or tax bills to the taxpayer or business who has not responded to the final notice. That final notice describes the information regarding the seizure action that the IRS considered on your case. The last and final notice that you will receive from the Internal Revenue Service is the L 1058 letter.
In many cases because the taxpayers have moved and they have never received the final notices from the Internal Revenue Service. According to the Internal Revenue Service is the taxpayer’s responsibility to advise the service of any changes in addresses.
This is usually the last thing a person will think about when they move however this is fully addressed in the internal revenue manual and cannot be used as an excuse by the taxpayer per the IRS and they have the hammer.
The CADE2 IRS Enforcement Computer
The next step is for the CADE2 computer system which is the IRS beast of a enforcement computer to systemically issue either a bank levy freeze or a wage garnishment notice to the taxpayers employer. No human hand ever touches the levy.
The Internal Revenue Service uses your last filed tax return and income tax transcripts to find out where your bank is located or who your employer is. These are called IRS levy sources and are located within the CADE2 computer system
Get your financial statement into IRS ASAP for Immediate Tax Relief
Before the Internal Revenue Service will release a bank levy or a wage garnishment the Internal Revenue Service will need a current financial statement to determine how to close the case within their system.
IRS will evaluate each taxpayer’s ability to pay after it receives a fully documented and accurate financial statement. The faster you get the financial information to the Internal Revenue Service the faster you will get the IRS bank levy or wage garnishment release.
Closing Methods for a Bank Levy from the IRS
The IRS will then determine which of the three closing method best suits the taxpayer based on their current financial statement.
Once the taxpayer agrees to the closing method that the IRS suggests the agent working the case will send an immediate release of the bank levy to the financial institution.
It should be known that the taxpayer has a right at any time to appeal the closing method that IRS suggests. You can contact us directly to file any notices of appeal.
The Internal Revenue Service will close the case one of three ways and Release the Levy
IRS may recommend that you are to be eligible for economic tax hardship and place you into a currently not collectible file, they may determine that you should be able to make current installment payments, or they may decide that you are a suitable candidate for an offer in compromise.
Everything is based on your current and accurate financial statement, that’s why it is critical that a professional tax resolution specialist prepare your statement and negotiate with the Internal Revenue Service.
As a former IRS agent I can tell you there is a huge difference between a taxpayer worked in their own case and a tax professional. The results are dramatic.
To get an Immediate Release of a Bank Levy for Tax Relief you need to:
To get an immediate release of a bank levy freeze a taxpayer should fully and accurately complete the 433F along with having all documentation to support that statement.
If a taxpayer calls us with the completed an accurate 433F financial statement along with all documentation that supports the financial statement, as a general rule, we can get an immediate release of the bank levy freeze that very day. But remember all the documentation must be there.
It is critical that you have all documentation to support your financial statement along with having copies of your last pay stubs last 3 to 6 months worth of bank statements.
It should be known that the Internal Revenue Service does not wish to levy but has no choice because the taxpayers did not respond to the bills and notices sent to the last known address.
Very Important information to get a Release of a IRS Bank Levy for Tax Relief
The Law on the Holding Period on the IRS Bank Levy.
A bank must wait 21 calendar days after a levy is served before sending payment. Then, on the next business day, it must turn over the taxpayer’s money.
The depositor(s) can waive this waiting period. The bank will not send money that is subject to attachment or execution under judicial process.
A “Bank” includes credit unions, savings and loan associations, trust companies, and others described in IRC 408(n) and Treas. Reg. §301.6332–3(b).
During the IRS holding period, a IRS bank levy might be released, or the amount owed could decrease.
If the bank receives no IRS release, it must send the payment after the holding period.
The Bank Liaison Information for the IRS Bank Levy
The holding period was created to settle disputes about ownership of bank accounts before money is sent. You would be surprised on how many time the bank errors and sends the money on the wrong taxpayer.
IRS will assign a bank liaison in each territory to settle these issues quickly.
Sometimes ownership is not settled before the holding period ends. If this happens, ask the bank for more time.
Information For Multiple Signature Authority on Bank Accounts for Bank Levies
A levy served to a bank attaches to funds in a bank account for which the taxpayer has an unrestricted right to withdraw funds (signature authority) even if multiple persons have signature authority for that bank account.
As noted in Treasury Regulation 301.6332–1(c)(4) the unrestricted right to withdraw funds is an interest which is subject to levy.
Which Amounts Must be Surrendered by the IRS Bank Levy
The bank must send the amount in the taxpayer’s accounts.
A bank levy attaches to any property or rights to property that belong to the taxpayer or on which there is a Federal tax lien, unless it is exempt. See IRC 6331, Levy and Distraint , for legal authority to levy.
However, it must send no more than the amount shown on the notice of levy.
Note:
By law, banks cannot immediately honor the IRS levy.
Important Information few know about
The notice of levy only reaches the amount on deposit when the levy is received.
Money deposited later is not surrendered, including deposits during the holding period.
Another levy must be served to reach this money. Also, the levy only reaches deposits that have cleared and are available for the taxpayer to withdraw.
Levy proceeds must not be reduced by any fee charged by the bank for processing the levy.
How will the IRS Credit a Bank Levy Payment
IRS will credit the bank levy payment on the date it is received.
They will credit the money in the most advantageous way to the government.
Generally, apply the money to the oldest assessment first.
The taxpayer can not designate how the money is applied because this is not a voluntary payment.
Rules for Income Deposited in a Bank Account
Part of taxpayer’s income is exempt from levy.
Once income is deposited in a bank, there is no exempt amount.
On the other hand, unlike a levy on wages and salary, a bank levy is not continuous.
When an entire paycheck is deposited, an economic hardship may exist because all of the money is levied. If this happens, release the levy in whole or in part, as appropriate, to avoid creating an economic hardship.
The IRS Economic Hardship to get your Bank Levy Release Immediately
Under IRM 5.11.2.2.1.4, Economic Hardship Provisions the IRS may determine to release of levy is required due to economic hardship.
A levy is required to be released when the Service determines the levy is creating an economic hardship, i.e., the levy will cause the individual to be unable to pay their reasonable necessary living expenses.
If a taxpayer cannot pay their current bills and they are living within their means, that is to say they are living within the national and regional standards as set forth by the IRS, they can be qualified as an economic tax hardship and be placed in the currently noncollectable file.
When that can be proven to the Internal Revenue Service the IRS will issue an immediate release of the bank levy freeze or wage garnishment.
What about Mortgage Escrow Accounts?
Banks generally require a portion of property taxes and insurance to be paid with each mortgage payment. This is held in escrow until the tax and insurance are paid. As long as the taxpayer can not withdraw money in these accounts, a levy can not reach it.
Sometimes the account is overpaid.
The taxpayer may have the option to get this refunded.
A levy can reach this.
Also, when property is sold, there may be escrow money that will be refunded to the taxpayer. A levy can reach this, too.
Bank Levy IRS for Information on Schools’ Bank Accounts
Bank accounts may be levied to collect taxes that colleges, universities, and other schools owe. These schools’ accounts may include money belonging to the Department of Education (ED). ED gives money to some schools for student aid. This is not the school’s money.
Bank Levy IRS – Immediate Tax Relief, Levy Releases, Former IRS
by Fresh Start Tax | May 10, 2013 | Tax Levy and Wage Garnishments
IRS Bank Levy Notice – Process for IMMEDIATE REMOVALS of the IRS Levy 1-866-700-1040
If you have received an IRS bank levy notice there is a process to get immediate release or removal from the IRS bank levy.
If you need to get an immediate release of a bank levy notice or a wage garnishment by the Internal Revenue Service contact us today and speak directly to tax attorneys, tax lawyers, certified public accountants or former IRS agents and managers.
We can get your IRS bank notice Levy released or removed and settle your tax debt with the Internal Revenue Service.
We have over 60 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service.
We also taught tax law at the Internal Revenue Service and were instructors of new IRS agents.
We know the exact protocol and tax strategies that needs to be employed to get immediate releases of the IRS bank levy. While employed at the Internal Revenue Service we issued thousands of IRS bank levies so it would only make sense that we would know the process of releasing or removal process
We have got hundreds upon hundreds of immediate release on a the IRS bank levy notice.
We are A+ rated by the Better Business Bureau and have been in private practice since 1982. We have 206 years a professional tax experience in dealing with the Internal Revenue Service.
The Good News, the Holding Period for the IRS Bank Levy Notice
The IRS cannot immediately take your money out of a financial institution. There is a freeze or holding period on the Bank Levy Notice.
A bank must wait 21 calendar days after a levy is served before sending payment.
Then, on the next business day, it must turn over the taxpayer’s money. The Internal Revenue Service gives the taxpayer 21 days to contact the Service and work out an agreeable plan to get the levy released.
It is critical that the taxpayer send or fax to IRS a current financial statement along with all documentation to start the process to get immediate release of the IRS bank levy notice.
If you can do this on the day you get the bank levy notice you will be eligible for immediate release of the bank levy notice.
Please Note – This financial statement is a form 433-F. That form must be completed and sent to the Internal Revenue Service. You can find this form on our website.
The Exact Process of getting a Immediate release of a IRS Bank Levy Notice
There is a very exact system to get immediate release of a IRS bank levy notice.
As a general rule, the Internal Revenue Service has sent out three or four tax notices or bills to the taxpayer or business who has not responded to the final notice. That final notice describes the information regarding the seizure action that the IRS considered on your case.
In many cases because the taxpayers have moved and they have never received the final notices from the Internal Revenue Service. According to the Internal Revenue Service is the taxpayer’s responsibility to advise the service of any changes in addresses.
The next step is for the CADE2 computer system which is the IRS enforcement computer to systemically issue either a bank levy freeze or a wage garnishment notice to the taxpayers employer. No human hand ever touches the levy.
Before the Internal Revenue Service will release a bank levy freeze/notice or a wage garnishment the Internal Revenue Service will need a current financial statement to determine how to close the case within their system.
IRS will evaluate each taxpayer’s ability to pay after it receives a fully documented financial statement. The faster you get the financial information to the Internal Revenue Service the faster you will get the IRS bank levy notice release.
The IRS will then determine which of the three closing method best suits the taxpayer based on their current financial statement.
Once the taxpayer agrees to the closing method that the IRS suggests the agent working the case will send an immediate release of the bank levy freeze to the financial institution.
It should be known that the taxpayer has a right at any time to appeal the closing method that IRS suggests.
As a general rule the Internal Revenue Service will close the case one of three ways and Release the Levy
IRS may recommend that you should be eligible for economic tax hardship and place you into a currently not collectible file, they may determine that you should be able to make current installment payments, or they may decide that you are a suitable candidate for an offer in compromise.
Everything is based on your current financial statement that’s why it is critical that a professional tax resolution specialist prepare your statement and negotiate with the Internal Revenue Service.
To get an Immediate Release of a Bank Levy Notice a taxpayer need to:
To get an immediate release of a bank levy freeze a taxpayer should fully and accurately complete the 433F along with having all documentation to support that statement.
If a taxpayer calls us with the completed an accurate 433F financial statement along with all documentation that supports the financial statement, as a general rule, we can get an immediate release of the bank levy freeze that very day.
It is critical that you have all documentation to support your financial statement along with having copies of your last pay stubs last 3 to 6 months worth of bank statements.
The IRS does not wish to send out a IRS Bank Levy Freeze but by code they have no choice.
It should be known that the Internal Revenue Service does not wish to levy but has no choice because the taxpayers did not respond to the bills and notices sent to the last known address.
It is critical when taxpayers move or change addresses to contact the IRS with their current address so they can receive all bills, notices, and other correspondence at the Internal Revenue Service sends out.
Other Very Important information to get a Release of a IRS Bank Levy Notice
The Law on the Holding Period on the IRS Bank Levy Notice
A bank must wait 21 calendar days after a levy is served before sending payment. Then, on the next business day, it must turn over the taxpayer’s money.
The depositor(s) can waive this waiting period. The bank will not send money that is subject to attachment or execution under judicial process.
A “Bank” includes credit unions, savings and loan associations, trust companies, and others described in IRC 408(n) and Treas. Reg. §301.6332–3(b).
During the IRS holding period, a IRS bank levy might be released, or the amount owed could decrease.
If the bank receives no IRS release, it must send the payment after the holding period.
Bank Liaison Information for the IRS Bank Levy Notice
The holding period was created to settle disputes about ownership of bank accounts before money is sent.
Assign a bank liaison in each territory to settle these issues quickly.
Sometimes ownership is not settled before the holding period ends. If this happens, ask the bank for more time.
Information For Multiple Signature Authority on Bank Accounts
A levy served to a bank attaches to funds in a bank account for which the taxpayer has an unrestricted right to withdraw funds (signature authority) even if multiple persons have signature authority for that bank account.
As noted in Treasury Regulation 301.6332–1(c)(4) the unrestricted right to withdraw funds is an interest which is subject to levy.
Amount that Must be Surrendered by the IRS Bank Levy Notice
The bank must send the amount in the taxpayer’s accounts.
A bank levy attaches to any property or rights to property that belong to the taxpayer or on which there is a Federal tax lien, unless it is exempt. See IRC 6331, Levy and Distraint , for legal authority to levy.
However, it must send no more than the amount shown on the notice of levy.
Note:
By law, banks cannot immediately honor the IRS levy.
A Very Important Key element of a Bank Levy
The notice of levy only reaches the amount on deposit when the levy is received.
Money deposited later is not surrendered, including deposits during the holding period.
Another levy must be served to reach this money. Also, the levy only reaches deposits that have cleared and are available for the taxpayer to withdraw.
Levy proceeds must not be reduced by any fee charged by the bank for processing the levy.
How the IRS Credits Levy Payments
Credit the levy payment on the date it is received.
Credit the money in the most advantageous way to the government.
Generally, apply the money to the oldest assessment first.
The taxpayer can not designate how the money is applied because this is not a voluntary payment.
Income Deposited in a Bank Account
Part of taxpayer’s income is exempt from levy.
Once income is deposited in a bank, there is no exempt amount.
On the other hand, unlike a levy on wages and salary, a bank levy is not continuous.
When an entire paycheck is deposited, an economic hardship may exist because all of the money is levied. If this happens, release the levy in whole or in part, as appropriate, to avoid creating an economic hardship.
Economic Hardship to get your Bank Levy Release ASAP
Under IRM 5.11.2.2.1.4, Economic Hardship Provisions the IRS may determine to release of levy is required due to economic hardship.
A levy is required to be released when the Service determines the levy is creating an economic hardship, i.e., the levy will cause the individual to be unable to pay their reasonable necessary living expenses.
If a taxpayer cannot pay their current bills and they are living within their means, that is to say they are living within the national and regional standards as set forth by the IRS, they can be qualified as an economic tax hardship and be placed in the currently noncollectable file.
When that can be proven to the Internal Revenue Service the IRS will issue an immediate release of the bank levy freeze or wage garnishment.
What about Mortgage Escrow Accounts?
Banks generally require a portion of property taxes and insurance to be paid with each mortgage payment. This is held in escrow until the tax and insurance are paid. As long as the taxpayer can not withdraw money in these accounts, a levy can not reach it.
Sometimes the account is overpaid.
The taxpayer may have the option to get this refunded.
A levy can reach this.
Also, when property is sold, there may be escrow money that will be refunded to the taxpayer. A levy can reach this, too.
Information on Schools’ Bank Accounts
Bank accounts may be levied to collect taxes that colleges, universities, and other schools owe. These schools’ accounts may include money belonging to the Department of Education (ED). ED gives money to some schools for student aid. This is not the school’s money.
IRS Bank Levy Notice – Process for IMMEDIATE REMOVALS of the IRS Levy
by Fresh Start Tax | May 10, 2013 | Tax Levy and Wage Garnishments
Get Immediate Release of IRS Bank Levy Freeze- Get your money BACK TODAY, Former IRS 1-866-700-1040
Do not be bullied by the IRS, fight back!
If you need to get an immediate release of a bank levy freeze by the Internal Revenue Service contact us today and speak directly to former IRS agents and managers.
We have over 60 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service.
We know the exact protocol and tax strategies that needs to be employed to get immediate releases of the bank levy freeze.
We have got hundreds upon hundreds of immediate release on a IRS bank levy freeze.
We are A+ rated by the Better Business Bureau and have been in private practice since 1982. We have 206 years a professional tax experience in dealing with the Internal Revenue Service.
You can contact us today for a free initial consultation and you can start the process to get your money back today.
The Good News, the Holding Period for the IRS Bank Levy
The IRS cannot immediately take your money out of a financial institution. There is a freeze or holding period.
A bank must wait 21 calendar days after a levy is served before sending payment. Then, on the next business day, it must turn over the taxpayer’s money.
It is critical that the taxpayer send or fax to IRS a current financial statement along with all documentation to start the process to get immediate release of the IRS bank levy freeze. If you can do this on the day you get the bank levy freeze you will be eligible for immediate release of the bank levy.
Please Note – This financial statement is a form 433-F. That form must be completed and sent to the Internal Revenue Service. You can find this form on our website.
The Process of getting a Immediate a release of a IRS Bank Levy Freeze
There is a very exact system to get immediate release of a IRS bank levy freeze.
As a general rule, the Internal Revenue Service has sent out three or four notices to the taxpayer who has not responded to the final notice. That final notice describes the information regarding the seizure action that the IRS considered on your case.
In many cases because the taxpayers have moved and they have never received the final notices from the Internal Revenue Service.
The next step is for the CADE2 computer system which is the IRS enforcement computer to systemically issue either a bank levy freeze or a wage garnishment notice to the taxpayers employer.
Before the Internal Revenue Service will release a bank levy freeze or a wage garnishment the Internal Revenue Service will need a current financial statement to determine how to close the case within their system.
IRS will evaluate each taxpayer’s ability to pay after it receives a fully documented financial statement.
The IRS will then determine which of the three closing method best suits the taxpayer based on their current financial statement.
Once the taxpayer agrees to the closing method that the IRS suggests the agent working the case will send an immediate release of the bank levy freeze to the financial institution.
It should be known that the taxpayer has a right at any time to appeal the closing method that IRS suggests.
As a general rule the Internal Revenue Service will close a case one of three ways and release the bank levy freeze
IRS may recommend that you should be eligible for economic tax hardship and place you into a currently not collectible file, they may determine that you should be able to make current installment payments, or they may decide that you are a suitable candidate for an offer in compromise.
Remember everything is based on your current financial statement that’s why it is critical that a professional tax resolution specialist prepare your statement and negotiate with the Internal Revenue Service.
To get an Immediate Release a taxpayer need to,
To get an immediate release of a bank levy freeze a taxpayer should fully and accurately complete the 433F along with having all documentation to support that statement.
If a taxpayer calls us with the completed an accurate 433F financial statement along with all documentation that supports the financial statement, as a general rule, we can get an immediate release of the bank levy freeze that very day.
It is critical that you have all documentation to support your financial statement along with having copies of your last pay stubs last 3 to 6 months worth of bank statements.
The IRS does not wish to send out a IRS Bank Levy Freeze
It should be known that the Internal Revenue Service does not wish to levy but has no choice because the taxpayers did not respond to the bills and notices sent to the last known address. It is critical when taxpayers move or change addresses to contact the IRS with their current address so they can receive all bills, notices, and other correspondence at the Internal Revenue Service sends out.
Other Important information to get a Release of a IRS Bank Levy Freeze
The Law on the Holding Period
A bank must wait 21 calendar days after a levy is served before sending payment. Then, on the next business day, it must turn over the taxpayer’s money.
The depositor(s) can waive this waiting period. The bank will not send money that is subject to attachment or execution under judicial process.
“Bank” includes credit unions, savings and loan associations, trust companies, and others described in IRC 408(n) and Treas. Reg. §301.6332–3(b).
During the holding period, a levy might be released, or the amount owed could decrease.
If the bank receives no release, it must send the payment after the holding period.
No additional notice is required.
Bank Liaison Information
The holding period was created to settle disputes about ownership of bank accounts before money is sent.
Assign a bank liaison in each territory to settle these issues quickly.
Sometimes ownership is not settled before the holding period ends. If this happens, ask the bank for more time.
For Multiple Signature Authority for a Bank Account
A levy served to a bank attaches to funds in a bank account for which the taxpayer has an unrestricted right to withdraw funds (signature authority) even if multiple persons have signature authority for that bank account.
As noted in Treasury Regulation 301.6332–1(c)(4) the unrestricted right to withdraw funds is an interest which is subject to levy.
Amount that Must be Surrendered
The bank must send the amount in the taxpayer’s accounts.
A bank levy attaches to any property or rights to property that belong to the taxpayer or on which there is a Federal tax lien, unless it is exempt. See IRC 6331, Levy and Distraint , for legal authority to levy.
However, it must send no more than the amount shown on the notice of levy.
Note:
By law, banks cannot immediately honor the IRS levy.
Key element of a Bank Levy
The notice of levy only reaches the amount on deposit when the levy is received.
Money deposited later is not surrendered, including deposits during the holding period.
Another levy must be served to reach this money. Also, the levy only reaches deposits that have cleared and are available for the taxpayer to withdraw.
Levy proceeds must not be reduced by any fee charged by the bank for processing the levy.
Crediting Levy Payments
Credit the levy payment on the date it is received.
Credit the money in the most advantageous way to the government.
Generally, apply the money to the oldest assessment first.
The taxpayer can not designate how the money is applied because this is not a voluntary payment.
Income Deposited in a Bank Account
Part of taxpayer’s income is exempt from levy.
Once income is deposited in a bank, there is no exempt amount.
On the other hand, unlike a levy on wages and salary, a bank levy is not continuous.
When an entire paycheck is deposited, an economic hardship may exist because all of the money is levied. If this happens, release the levy in whole or in part, as appropriate, to avoid creating an economic hardship.
Economic Hardship to get your Bank Levy Release
Under IRM 5.11.2.2.1.4, Economic Hardship Provisions the IRS may determine to release of levy is required due to economic hardship.
A levy is required to be released when the Service determines the levy is creating an economic hardship, i.e., the levy will cause the individual to be unable to pay their reasonable necessary living expenses.
Generally, if a taxpayer cannot pay their current bills and they are living within their means, that is to say they are living within the national and regional standards as set forth by the IRS, they can be qualified as an economic tax hardship and be placed in the currently noncollectable file.
When that can be proven to the Internal Revenue Service the IRS will issue an immediate release of the bank levy freeze or wage garnishment.
What about Mortgage Escrow Accounts
Banks generally require a portion of property taxes and insurance to be paid with each mortgage payment. This is held in escrow until the tax and insurance are paid. As long as the taxpayer can not withdraw money in these accounts, a levy can not reach it.
Sometimes the account is overpaid.
The taxpayer may have the option to get this refunded.
A levy can reach this.
Also, when property is sold, there may be escrow money that will be refunded to the taxpayer. A levy can reach this, too.
Schools’ Bank Accounts
Bank accounts may be levied to collect taxes that colleges, universities, and other schools owe. These schools’ accounts may include money belonging to the Department of Education (ED). ED gives money to some schools for student aid. This is not the school’s money.
Affordable – Get Immediate Release of Bank Levy Freeze – Get your money BACK TODAY, Former IRS
by Fresh Start Tax | Apr 24, 2013 | Tax Levy and Wage Garnishments
IRS Bank Levy, Wage Levy Garnishments – Get Releases ASAP, Former IRS 1-866-700-1040
The Internal Revenue Service sends out 3.6 million IRS bank levies and IRS wage garnishment levies each year.
The IRS CADE2 computer generates these levy notices both banks and employers systemically.
Not a human hand touches these a bank levy or Wage levy garnishment.
Thousands of these notices are sent every day to taxpayers who are failed to respond to the last billing notice the IRS is sent to their last known mailing address. Sadly millions of taxpayers never have received their final builder notice to even respond to the Internal Revenue Service and that is because the IRS has a protocol that states that it is only required to send the last billing notice to the last known address on their last file tax return.
As a former IRS agent I sent out hundreds and hundreds of IRS bank levies and wage garnishment levies.
Because of my years of experience at the Internal Revenue Service I know the exact protocol, the exact format, and the exact settlement procedures to go ahead and to get your IRS wage levy garnishment or IRS bank levy released as soon as possible.
We have over 206 years of professional tax experience, over 60 years of working directly for the Internal Revenue Service and the local, district, and regional tax offices of the Internal Revenue Service and we are a plus rated by the Better Business Bureau.
The process of getting the IRS bank levy or wage Levy garnishment released
There is a very exact process or protocol that the Internal Revenue Service uses to get the IRS bank levy or wage Levy garnishment released.
Before IRS releases anyone off the hook they need to determine the collectibility of each and every taxpayer or business before they close off the case off the IRS collection computer called CADE 2.
IRS will require a current financial statement.
You can find that financial statement on our website. The forms is the 433-F. You will have to complete every box on the form and have it completely documented before the Internal Revenue Service will make a determination on how your case can be closed.
Documents Needed for Release of IRS Bank Levy or Wage Garnishment
Beside the IRS financial statement the IRS will require copies of pay stubs, of bank statements for the last 3 to 6 months and a copy of all your bills receipts and expenses for a period of three months.
The Internal Revenue Service will also make sure that all your tax returns are up-to-date and that you are having the proper amount of withholding taken out of your paycheck.
If you are self-employed they will make sure that you are making current estimate tax payments
IRS will carefully review your financial statement and apply it against the national and regional standards. you can find those national and regional standards on her website. Click on the IRS forms on our homepage and you will be brought to the national standards. IRS will then make a determination as to how they will close your case.
That can be appealed if you do not like the decision. You have the option of filing CAP for someone else to review your case.
How your case will be settled with the Internal Revenue Service
IRS will either close your case suggesting you are a suitable candidate for an offer in compromise, they may determine that you could make a current monthly payment to them based on your financial statement or the IRS may determine because of your present condition you are at this time currently not collectible.
If the IRS determines that your case is currently non-collectible they will place your case in suspense for the next three years.
As a general rule once your adjusted gross income shows a higher amount, your case will be generated back to the field and your case brought back to the enforcement computer and the process starts again all over with bills and notices.
The IRS Bank Levy
When a bank receives the levy notice from the Internal Revenue Service all funds are frozen in that account for 21 days.
The funds that are frozen are only those monies that are in the bank account on the day the bank received the IRS levy.
By law, those are the only funds that are frozen.
You can continue to use that bank account as much as you want except for the frozen funds. Contrary to popular belief your bank account is not closed.
The Internal Revenue Service gives taxpayers a 21 day grace period to go ahead and allow them to get the release of the Bank Levy and get their monies back in their hand.
The wage levy garnishment
The wage levy garnishment unlike the bank levy is a continuous levy.
It continues to garnish or seizes a person’s paycheck week after week until the employer receives an actual release from the Internal Revenue Service.
All taxpayers should act immediately upon receiving an IRS bank levy or wage Levy garnishment. We can get your bank levy or your wage levy garnishment released immediately as soon as we have your current financial statement with all documentations in our hand.
Call us today for free initial consultation and you can speak directly tax attorneys, certified public accountants, or former IRS agents who are tax experts for IRS bank levies and release of wage levy garnishments,
We not only will get your IRS bank levy or your wage levy garnishment released we will also settle your case. We are affordable, A+ rated by the Better Business Bureau and have been in private practice since 1982.
IRS Bank Levy, Wage Levy Garnishments – Get Releases ASAP, Former IRS
by Fresh Start Tax | Apr 24, 2013 | Tax Levy and Wage Garnishments
Back Account Frozen by the IRS – Get Levy Release ASAP by Former IRS Agents 1-866-700-1040
If your bank account has been frozen by the Internal Revenue Service call us today to get a fast and quick resolution and get your release of bank levy by the Internal Revenue Service.
You want to consider the use Fresh Start Tax LLC because we have over 206 years professional tax experience, over 60 years with the Internal Revenue Service and we are A+ rated by the Better Business Bureau.
We have been in private practice since 1982 and have released thousands of levies.
We can make this a very easy process of unfreezing your bank account and settling your case.
We are comprised of former IRS agents and managers with 60 years of working directly for the Internal Revenue Service at the local, district, and regional tax offices of the Internal Revenue Service.
As a result of our years of experience at the IRS, we know the exact systems, the exact protocol, and the exact settlement formulas necessary to get your money back in your hands and settle your case as well.
There is a very specific process to get your frozen bank account funds released and back in your hands.
The IRS sends bank account levies out to taxpayers because they have failed to address notices and bills that were sent out to taxpayers at the last known address.
The unfortunate part, many taxpayers because they have moved never received the last bill or notice. Also many times fear shuts taxpayers down from dealing with their IRS issues. That’s where we come in we can help overcome those fears and get your life back in order.
To Get Your Bank Account Release
To get your bank account unfrozen and get the money back in your hands the IRS will need to close your case off the enforcement computer.
IRS will require a 433-F which is the IRS version of a financial statement.
Along with the financial statement IRS will need complete and accurate documentation as to the correctness of the financial statement. IRS will need your last pay stub, your last three months of bank statements, and also a copy of all your monthly expenses. IRS will conduct an analysis as to how they believe your case should be closed. IRS will use the national and local averages to determine the allowable expenses.
As a general rule, IRS will close your case in one of three fashions.
1. IRS will determined by your financial statement that you are right now in an economic tax hardship and you’re unable to pay IRS at this time. Within the IRM there are provisions to shelve your case for two or three years because you are currently noncollectable.
2. IRS may say that you could make an installment or make payment arrangements because of your present income at the time.
3. IRS may also let you know that you are a suitable candidate for an offer in compromise or a tax debt settlement.
Once the taxpayer agrees to a closing method the IRS will send a notice of release to the bank that has your account frozen.
Holding Period for Bank Levies
A bank must wait 21 calendar days after a levy is served before sending payment.
Then, on the next business day, it must turn over the taxpayer’s money. The depositor(s) can waive this waiting period.
The bank will not send money that is subject to attachment or execution under judicial process.
“Bank” includes credit unions, savings and loan associations, trust companies, and others described in IRC 408(n) and Treas. Reg. §301.6332–3(b).
During the holding period, a levy might be released, or the amount owed could decrease.
Note:
If the bank receives no release, it must send the payment after the holding period. No additional notice is required.
Consider the holding period when deciding how long to project the accruals on a bank levy.
Role of the Bank Liaison
The holding period was created to settle disputes about ownership of bank accounts before money is sent.
A bank liaison in each territory is usually assigned to settle these issues quickly.
Sometimes ownership is not settled before the holding period ends. If this happens, ask the bank for more time.
Multiple Signature Authority for a Bank Account
A levy served to a bank attaches to funds in a bank account for which the taxpayer has an unrestricted right to withdraw funds (signature authority) – even if multiple persons have signature authority for that bank account.
As noted in Treasury Regulation 301.6332–1(c)(4) the unrestricted right to withdraw funds is an interest which is subject to levy.
Examples of this are the following
A bank is served with a notice of levy for an unpaid tax liability due from the taxpayer in the amount of $2,000. The bank holds $2,000 in a checking account in the names of a taxpayer and a third party.
Although all of the deposits into the account were made by the third party, the taxpayer has an unrestricted right to withdraw the funds from the account. The bank may send the Service the entire account balance at the end of the 21 day holding period.
The bank is not liable to the third party for any amount, even if the third party proves that the funds in the account did not belong to the taxpayer, because the taxpayer’s unrestricted right to withdraw the funds is an interest which is subject to levy.
The third party may, however, seek the return of the funds from the United States by making an administrative wrongful levy claim under IRC 6343(b) or file a suit under IRC 7426(a)(1) should the administrative claim be denied.
A wrongful Levy
A non-liable third party may claim ownership of funds in a bank account when multiple people hold signature authority for that bank account. Treat this dispute as a potential wrongful levy.
A wrongful levy is a levy that improperly attaches property belonging to a third party in which the taxpayer has no rights.
See IRM 5.11.2.2.2, Wrongful and Erroneous Levies, for the procedures to follow in these situations.
Reminder: For bank levies if additional time is needed beyond the 21 day hold period to determine ownership, request the bank hold the funds. Provide the potentially wrongfully levied party a deadline date for providing substantiation and provide the bank with a specific extension date to forward the funds.
Reminder:
Provide the potentially wrongfully levied party Form 4528, Making an Administrative Wrongful Levy Claim Under Internal Revenue Code (IRC) Section 6343(b)
Amount that Must be Surrendered
The bank must send the amount in the taxpayer’s accounts. A bank levy attaches to any property or rights to property that belong to the taxpayer or on which there is a Federal tax lien, unless it is exempt. See IRC 6331, Levy and Distrait , for legal authority to levy. However, it must send no more than the amount shown on the notice of levy.
Note:
By law, banks cannot immediately honor the IRS levy. See IRM 5.11.4.1, Holding Period, for guidance on the holding period after a bank levy.
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Bank Account Levy only attaches to the date the money is received.
The notice of levy only reaches the amount on deposit when the levy is received. Money deposited later is not surrendered, including deposits during the holding period. Another levy must be served to reach this money.
Also, the levy only reaches deposits that have cleared and are available for the taxpayer to withdraw.
Levy proceeds must not be reduced by any fee charged by the bank for processing the levy.
Back Account Frozen by the IRS – Get Levy Release ASAP by Former IRS Agents
by Fresh Start Tax | Apr 24, 2013 | Tax Levy and Wage Garnishments
Get Wage Garnishment Levy Released ASAP – Former Agents 1-866-700-1040
Let Former IRS agents and managers get your IRS wage garnishment levy released or removed today.
Upon your call to us we will secure a power of attorney, a current financial statement along with documentation and with that in hand we can get your IRS wage garnishment levy released.
If you have received a wage garnishment levy from the Internal Revenue Service we can get it removed quickly.
Contact us today and get your life back in order.
We can not only get your IRS wage garnishment levy released we can also settle your case at the same time.
We are comprised of tax attorneys, certified public accountants, and former IRS agents and managers who know the exact process and system to quickly and with affordable pricing get your IRS wage garnishment levy removed.
We have over 60 years of working for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service.
Why IRS Wage Garnishments are sent to Employers
The Internal Revenue Service will send a wage garnishment IRS levies to taxpayers employers if taxpayers have not responded to the final billing notices sent out by IRS.
As a general rule the IRS sends out a series of 3 to 4 letters or notices letting taxpayers know that if the taxpayer does not respond to the Internal Revenue Service a wage levy or a bank levy will be forthcoming.
Many taxpayers either fail to act on that notice or have never received the final notice and wind up getting their wages seized or frozen by the Internal Revenue Service.
The requirement to get the Wage Garnishment IRS levy released
To get the wage garnishment IRS levy released a taxpayer will have to provide to the Internal Revenue Service a form 433F which is a version of a financial statement.
You can find this form on our website.
That form along with all pay stubs, bank statements and all monthly expenses will have to be forwarded for the IRS so they can make a determination on how to release your IRS wage garnishment and settle your case.
After IRS carefully reviews the financial statement and the documentation, the Internal Revenue Service will usually release the wage garnishment IRS levy and put the client in one of three closing postures.
Closing or Settlement Options
The IRS will either place the taxpayer into an economic tax hardship due to their current financial status or ability, the IRS will insist on a payment or installment agreement because they make more than the national or regional averages, or IRS will let you know you’re a suitable candidate for offer in compromise.
To get your wage garnishment IRS levy removed quickly a taxpayer will provide fresh start tax a completed financial statement along with the documentation. As a general rule we can get that levy released the day we receive the documents that IRS will need to close her case.
Regarding the IRS wage garnishment, IRS levy
Introduction
An individual’s wages, salary, and other income can be levied. Wages, salary, and other income include payment for personal services in a work relationship.
If your employer Threatens to Fire Taxpayer Because of a Levy fight back
Sometimes an employer threatens to fire an employee to avoid handling a levy.
This might be a violation of 15 USC 1674.
If the employer fires the taxpayer because of this, the employer might be fined not more than $1000 or imprisoned for not more than one year, or both.
Refer the taxpayer to the Wage and Hour Division of the Department of Labor (DOL). DOL, not IRS, must decide if the employer violated the law.
The Continuous Effect of Levy on Salary and Wages
Unlike other levies, a levy on a taxpayer’s wages and salary has a continuous effect.
It attaches to future payments, until the levy is released. The Internal Revenue Service will not back off until the taxpayer makes an attempt to settle there case with the IRS.
All Wages and salary include fees, bonuses, commissions, and similar items.
All other levies only attach to property and rights to property that exist when the levy is served.
If a bank account is levied, it only reaches money in the account when the levy is served. It does not reach money deposited later.
When other income is levied, the levy reaches payment the taxpayer has a fixed and determinable right to. If the taxpayer’s right to that payment is not dependent upon the performance of future services, then the levy will reach the future payments as well.
Future Payments that may be Due
A Form 668-A is issued to levy an author’s royalties. The author has a fixed and determinable right to royalties for books that have already been published. The levy reaches royalties for sales of those books in the future.
The levy does not reach royalties for books that are written and published later. A new levy must be served to take those royalties.
Retirement or Social Security Income, nothing is sacred to the IRS
A Form 668-W is issued to levy a taxpayer’s retirement income. The taxpayer has a fixed right to the future payments; therefore, the levy remains in effect until it is released.
Also, see IRM 5.11.6.12, Levy on Non-Liable Spouse in a Community Property State for guidance when the wage levy on the non-liable spouse is not continuous.
Exempt Amount from the IRS wage garnishment levy
Part of the individual taxpayer’s wages, salary, (including fees, bonuses, commissions and similar items) and other income, as well as retirement and benefit income, is exempt from levy.
The weekly exempt amount is:
The total of the taxpayer’s standard deduction and the amount deductible for exemptions on an income tax return for the year the levy is served.
Then, this total is divided by 52.
Income that is not paid weekly is prorated, so the same amount is exempt.
In addition, the amount the taxpayer needs to pay court ordered child support is exempt.
Get Wage Garnishments IRS Levy Released ASAP using IRS Former Agents
