When facing a bank levy, seeking our legal services is crucial. Charles A. Ray, Jr. is here to assist you with bank levy negotiation in Washington, DC. Unlike wage garnishment, a bank levy seizes funds from your account only once—specifically, the amount available at the time of the levy. However, this one-time action does not prevent the IRS from filing additional levies, which can leave taxpayers without access to their funds.
Fortunately, relief from an IRS bank levy is available. To secure this relief, both the taxpayer and their tax professional must act quickly. Once the bank levy is in effect, the bank must freeze the funds in your account for a period of 21 days.
During this time, pursuing relief and developing a strategy to address your tax issues with the IRS is possible. With the guidance of a competent tax levy lawyer in Washington, DC, you can work towards resolving your tax debt before the IRS takes further action, such as seizing your property.
Creditors often use a bank levy as a last resort to collect unpaid debts. Typically, creditors must secure a court judgment before levying your account. When a levy is enacted, the bank is mandated to freeze the funds in your account up to the amount of outstanding debt. If you have a strong defense—such as mistakes in the levy documents or an expired statute of limitations—you may be able to keep your assets safe.
Additionally, filing for bankruptcy can provide a temporary halt to the levy.
Before the IRS can authorize a levy, specific requirements must be met according to IRS Code Section 6331. These include:
Adhering to these procedures requires the IRS to follow certain steps before garnishing wages or seizing property. Taxpayers who actively participate in this process may stand a better chance of avoiding property seizure.
Receiving a tax levy notification from the IRS can be a devastating experience. The implications of a levy can lead to significant financial strain, including bank account or property seizures and wage garnishments.
Consulting a tax levy lawyer in Washington, DC, is essential to navigating the complexities of tax levies and tax debt. Protecting your interests during IRS collection proceedings should always be your top priority.
Every tax issue has a remedy, even when it seems challenging. Call us today for more information about our legal services and let us help you find the best path forward.
