IRS seizures and levies are probably the most powerful tool the IRS has to recoup the money it is owed from individuals and businesses. It can be performed by the IRS without a court’s ruling.
IRS seizures and levies are essentially the same thing; the government can take hold of any property you have to fulfill a debt to the IRS, which includes levying future wages and other forms of incomes.
The property tax relief categories are listed for, senior citizens, first time buyers, individual income tax payers and tax payers with low income.
IRS seizures and levies are different than liens which tend to get used more often. If a piece of property has a federal lien on it, the individual who owns it can still use the property. The only thing a lien inhibits is the ability to resell it, because the IRS has put a claim on it. Once any actual IRS seizures and levies have taken place, the individual loses all rights to the property.
There are three steps that are taken before any IRS seizures and levies are processed:
1.The tax was investigated and the individual or business was sent a Notice and Demand for Payment.
2.The IRS did not receive any payment after that notice.3.A final Notice of Intent to Levy was sent out more than 29 days before the levy.
After any IRS seizures and levies have been granted, there are several appeals that can be made. These are the appeal forms that can be used to fight seizures:
- Application for Taxpayer Assistance Order (Form 911) – In situations where you were affected negatively by the economy or had any other hardships, you may be eligible for this assistance.
- Collection Appeal Request (Form 9423) – This is an appeal for any type of IRS property seizure. The IRS must delay any seizure that is being appealed until the appeal has been heard.
- Request for a Collection Due Process or Equivalent Hearing (Form 12153) – This appeal grants you a hearing with the IRS Office of Appeals, and it’s probably the most common appeal to be made.
- Your IRS debt was paid up before the levy was sent.
- You were in bankruptcy when the levy notice was sent.
- There was a procedural error at some point in the process.
- The statue of limitations on the tax or debt has passed.
- A spousal defense is being made.
- You never had the chance to dispute the levy.
- You would like to negotiate the repayment options.
- Because every situation tends to be different, please consult a tax attorney immediately if you are facing IRS seizures and levies.
In order for your appeal to have grounds for a reversal, the individual’s situation must fall under one of these situations: