A levy is the actual seizure of property for withstanding debts. The IRS can seize or sell any form of property including homes, cars, and wages from any source of income or account. The taxpayer will receive a Notice and Demand for Payment from the IRS then a Final Notice of Intent to Levy and Notice of Your Right to a Hearing if the debt is not paid after the first notice. A levy ends when the amount is paid, a levy is released, or the time to collect the tax expires.
Utilizing a tax attorney is recommended in order to get a levy released from the IRS. The IRS will release a levy if there is proof that it causes economic hardship. Another possible course of action is that a tax attorney can request a Stay of Enforcement to temporarily stop the collection and represent the taxpayer in front of the IRS. The goal of this is to enter the taxpayer into a tax resolution program or settle the back taxes. Negotiating a release, prevention, or postponement of the levy can also be done by a tax attorney through collection appeals or collection due process hearing. Tax attorneys provide viable options and solutions to relieve taxpayers of levies.