If you have an IRS debt you need to understand how IRS wage levies work. The IRS can take the majority of your paycheck. They’re only required to leave you enough to pay the bare necessities such as food and shelter, and they determine the amount appropriate for those bare necessities. Very few people who have been hit with a payroll levy would agree that IRS leaves them enough to cover basic expenses.
IRS does not care if you default on credit card debt, student loan debt or almost any other kind of debt. About the only kind of debt that is protected is child support.
In order to avoid the unpleasantness of a wage levy try the following recommendations:
First, you should pay attention to communications from the IRS. The letters they send you may start out friendly but over time they will become more threatening. If you pay attention you will notice when they begin the process of starting a levy against you.
Second, communicate with IRS. IRS agents and employees are generally more amenable to people who communicate with them. They tend to get very irritated with people who ignore them. You know how you feel if someone wont return your phone calls. If you let them know you’re trying they will generally work with you.
There are ways to stop An IRS wage levy even if it has already begun. Usually, but not always, you will need to enter into a payment plan.
Even if you feel your debt is unfair or incorrect, if you’ve gotten to the point where the levy process has begun. You may need to enter into a payment plan in order to stop the levy and gain some time in order to deal with the underlying tax debt problem.
If you receive something from the IRS called a “final notice of intent to levy” seek professional help immediately. The levy is about to start.
A levy can be delayed for quite a while or stopped entirely but you need to take action.