Liens, Levies, Seizures

Dealing with the Internal Revenue Service (IRS) can be intimidating, especially when it comes to the enforcement of tax liabilities. Among the various tools at the IRS’s disposal, liens, levies, and seizures are some of the most potent.

An IRS lien is a legal claim against the taxpayer’s property, both real and personal, as a result of unpaid tax debts. The lien serves as a notice to creditors that the government has a claim on the taxpayer’s assets. While a lien does not involve the actual seizure of property, it can have significant implications, as it can impact the taxpayer’s ability to sell or refinance the property. Additionally, a lien can negatively affect credit scores, making it harder to secure loans or credit.

An IRS levy takes the enforcement step further, involving the actual seizure of a taxpayer’s assets. This can include bank accounts, wages, and even real estate. Levies are typically initiated after the IRS has made several attempts to collect the outstanding tax debt through other means, such as sending notices and demanding payment. Levies can cause immediate financial hardship, as they can freeze bank accounts or garnish a portion of a taxpayer’s wages, making it essential to address tax issues before reaching this stage.

Before initiating a levy, the IRS is required by law to send a Notice of Intent to Levy and a notice of your right to a hearing. These notices provide crucial information about the outstanding tax debt, the intent to levy, and the right to appeal the decision. There is typically a 30-day waiting period from the date of the notice before the IRS can levy the taxpayer’s assets.

IRS seizure represents the most extreme enforcement action, where the government takes ownership of the taxpayer’s assets to satisfy unpaid tax debts. Seizures are relatively rare and are usually reserved for cases where other collection methods have failed. The IRS can seize real estate, vehicles, and other valuable property. This process involves a complex legal procedure and can have a profound impact on a taxpayer’s financial stability.

Before initiating a seizure, the IRS is required to provide due process to the taxpayer. This includes sending notices outlining the outstanding tax debt and the intent to seize assets. The taxpayer has the right to respond, appeal, or request a Collection Due Process (CDP) hearing within a specified timeframe. If the taxpayer does not respond to the notices or a resolution is not reached, the IRS will evaluate which assets to seize and proceed with physically confiscating the assets. The assets are then sold at public auction, with the proceeds going to satisfy the tax debt.

All of these legal actions can have serious implications for your financial well-being and your property. Enlisting the expertise of a skilled tax attorney can prove to be a vital step in effectively managing and resolving these challenging situations.

Tax attorneys specialize in tax law and are well-versed in the complexities of IRS regulations and procedures. They can provide you with accurate and up-to-date information, helping you understand your rights when facing liens, levies, or seizures. Their expertise ensures that you make informed decisions tailored to your unique circumstances.

One of the key advantages of hiring a tax lawyer when facing liens, levies, or seizures is their ability to negotiate on your behalf. They can engage in discussions with the IRS on your behalf and engage in discussions to establish manageable installment agreements, settle your debts for less than you owe through an Offer in Compromise if applicable, or seek a release of a lien or levy. These negotiations are often more successful when handled by a professional who understands the nuances of the process.

Furthermore, when dealing with the IRS, having a tax attorney by your side provides a layer of legal protection. They can advocate for your rights, ensuring that the IRS follows proper procedures and does not overstep its authority. In cases of erroneous liens or levies, a tax attorney can challenge these actions and work towards their removal. Also, IRS matters typically involve extensive paperwork and documentation. A tax attorney can help gather the necessary records, complete required forms, and submit accurate information to the IRS to prevent errors and delays in resolving your tax case.

Finally, a tax attorney is experienced in tax litigation. Whether it be representing you at an appeal’s hearing of an intent to levy or seize or representing you in court if negotiations with the IRS fail, a tax attorney’s experience in tax litigation equips them to present a compelling case and defend your interests effectively.

Facing IRS liens, levies, and seizures can be overwhelming, but you do not have to go through it alone. Enlisting the services of a qualified tax attorney can provide you with the expertise, guidance, and advocacy you need to navigate these complex challenges successfully. The attorneys at Premier Legal Solutions bring a wealth of expertise, knowledge, and negotiation skills to the table in dealing with IRS liens, levies, and seizures. If you are facing collection actions from the IRS, the team at Premier Legal Services, PLLC are here to help you seek a favorable resolution.  Contact them at (267) 245-0649 or for a consultation.