In situations where a taxpayer has failed to contact the IRS or refused to cooperate with them, the IRS uses a "sledge hammer" to get the taxpayer's attention and start collecting the tax liability. This may be in the form of a levy against your wages, salary, and other income. The wage garnishment is a very powerful IRS tool. The IRS accomplishes this by sending a notice to your employer. The IRS can, by use of your W-2, determine the name and address of your employer.

Upon receiving the Notice of Levy from the IRS, your employer is required to withhold from your paycheck the amount that must be paid to the IRS. The payment by your employer to the IRS is made on the same date that wage payments are made to you.

The IRS does not take all of your paycheck; they allow you enough to live on. Of course, their idea of enough to live on and ours are very different. You may only receive a net weekly paycheck of $133.00. This Levy continues until it is released by the IRS or the total tax liability has been paid.

We will work with the IRS to negotiate the full or partial release of the wage garnishment if you qualify for relief. Depending upon your individual circumstances, we may be able to arrange in Installment Agreement to pay the IRS a specified dollar amount every month until the debt is paid. Once the Installment Agreement is in place, we may be able to negotiate an Offer in Compromise and settle your debt for less than the actual liability, depending on your individual financial circumstances. Another option is to be placed in a Currently Not Collectible status, in which you may not have to make payments to the IRS at all, again depending on your individual financial circumstances.

If you receive notice of a wage garnishment, contact us immediately.  Don’t become another IRS statistic.