Originally Posted by theevilgness
I received a letter from the IRS that read "Notice of Intent to Levy." The notice gave me 30 days, should I be worried? What steps should I take to fix this problem?
So you received a Notice of Intent to Levy. What does this mean to you?
Receiving anotice of intent intent to levy notice from the IRS can be scary since it likely means that something has gone terribly wrong with your taxes and that you have yet to do anything to fix that problem. While this is clearly not a good situation, you may be able to get back into the good graces of the IRS if you make the right moves and handle the intent to levy carefully to ensure that things do not progress any further.An intent to levy notice does not mean that the IRS is going to show up at your house, kick you out and take your belongings, but it does mean that you’ve ignored past notices to delinquent taxes and that the IRS is now becoming very serious about collecting.A tax levy is a way for the IRS to take what you owe since you are unwilling to pay them on your own. In most cases, the IRS will levy your bank account in addition to levying your wages, social security, and other assets. A tax lien may also be attached to your home in conjunction with a tax levy.The best way to prevent a tax levy is to contact the IRS so that you can come to an agreement on how you will pay back the taxes that you owe. You can set up an IRS installment agreement or submit an offer in compromise to slow down the levy process - and possibly even stop it in its tracks - once you begin to pay your back taxes.As long as you are willing to work with the IRS to find a solution as opposed to hiding from them . it is a safe bet that you will never have to worry about finding an letter of intent to levy notice in your mailbox. If you do not pay your taxes (or make arrangements to settle your debt):The government can seize and sell property that you hold (such as your car, boat, or house), orThe government can levy property that is yours but is held by someone else (such as your wages, retirement accounts, dividends, bank accounts, rental income, accounts receivables, the cash value of your life insurance, or commissions). If a levy is placed on your bank account, the levy attaches the funds that have cleared and are available for withdrawal. The bank must wait until 21 days after a levy is received before sending the money. The holding period allows you time to resolve any dispute about account ownership, or get professional advice on your situation.After 21 days, the bank must send the money, plus, if applicable, any interest earned on that amount. To cease enforced collection, you,as said previously, must work with the taxing authority by presenting a reasonable resolution and working toward fixing the tax problems.