As a former IRS agent and teaching instructor I have been asked this question all the time.
How long can IRS continue to levy my wages?
The answer is very simple, they can continue to garner your wages for as long as they want.
If you are in receipt of an IRS garnishment or levy is important to understand that the Internal Revenue Service had no intention of sending these tax levies or wage garnishments out.
As a result of taxpayers not following up on a series of four notices including a final notice, the IRS computer system systematically sends a wage garnishment out to the W-2 or 1099 information found on your tax return or third-party information sent by your employer. the Internal Revenue Service also has the option of sending out bank levies as well.
Not a human hand touches these IRS levies or wage garnishments. They are all computer-driven systematically.
The only exception, if the case is in the local office the revenue officers have the option to send levies out.
The most important question to ask
“How can I get my IRS tax Levy wage garnishment released?
It really does not take much to get your wage levy garnishment released.
The Internal Revenue Service wants to be contacted with a plan in mind on how you want to deal with the outstanding tax obligation or liability.
As a general rule, the Internal Revenue Service will take a current financial statement and ask you to document that statement with pay stubs, copy of expenses, and bank statements.
The internal revenue service will analyze your current financial statement and documentation and come up with an exit strategy to close your case off the Internal Revenue Service enforcement computer.
Closing Methods
The Internal Revenue Service will generally put your case into the non-collectible status or will ask you for a monthly payment.
Your case can be placed the non-collectible because your expenses exceed your income and you fall within the national standards. These hardship cases or non-collectible cases stay in the system for a period of a couple years until IRS reissues the case back to the field again.
Keep in mind, penalties and interest will run on this liability.
Over 40% of all open IRS cases get placed into current hardship.
The other option is to have your case place into a payment plan based on your current income and expenses.
6.5 million taxpayers a year inter-into installment payment plans.
Levy Releases
You can get your levy released by contacting Internal Revenue Service with the current financial statement.
It is best to have a seasoned tax professional negotiate the closing of your case. The results will definitely be different simply because of the amount of experience in understanding the IRS methodologies.
Also taxpayers may want to consider an offer in compromise to settle their debt for pennies on the dollar.
It is wise to have the IRS pre-qualifier tool available to you to make sure you are a true offer in compromise tax debt settlement candidate.
To have success in these cases you must know the formulas used by Internal Revenue Service to get your case placed into hardship, payment agreements or the offer in compromise.
As for the offer in compromise, last year the IRS accepted 38% of all offers in compromise file for average of $4000 per case.
It is extremely important to understand that your current documented financial statement will determine the closing method used by Internal Revenue Service.
Call us today for a free initial tax consultation and we walk you through the process.
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How Long Can IRS Levy/Garnish My Wages + Former IRS Help