The First Step You Must Take When You Face Tax Levy Charges
If you have been served with a tax levy, the first step you must take is to find a tax lawyer. If you don’t have the time or money to hire a lawyer, there are other options available. A tax attorney can help you fight the levy by finding an alternative way to repay the debt. These options may include an installment agreement or an offer in compromise. If you are not able to pay the full amount, a tax lien can keep you from selling your assets.
Luckily, an IRS levy will come with plenty of warnings. A tax lien is a legal claim against your property and will likely come in the form of multiple notices requesting payments. Notices like CP14, CP501, and CP503 are all common forms of IRS tax liens. If you ignore them, you can expect to receive an even larger number of notices and demands. If you don’t respond to these notices, you’ll receive a notice CP504 and be notified of a tax lien.
A levy is an extremely stressful situation for anyone. Not only will you be facing a potentially devastating financial setback, but you may also lose your wages or holdings in bank and investment accounts. If you have retirement savings, you might lose those as well. Even if you don’t need to sell these items, you should seek help from a tax resolution expert. The sooner you get help, the better.
While paying off the levy is the most obvious way to remove it, the best way to release it is to make regular payments based on your income level. By doing this, the IRS is more likely to release the levy if you’re financially unable to make payments. You should also make sure that the levy has been obtained without proper procedures. This way, you can still make regular payments and get the tax debt released.
There are several types of tax levy and finding a good one is crucial. First, you should seek legal representation. A tax levy attorney in Dawson Springs can help you fight the levy. Once you have received notification from the IRS, your employer must send a certain percentage of your paycheck to the IRS. Your employer must comply with the levy for at least one full pay period. If you don’t respond before your next paycheck, you’ll lose access to the funds you’ve been owed.
You may be able to defend yourself if the levy case is simple, such as an installment agreement. However, if you are facing a complex audit or OIC, it is imperative that you hire an experienced tax attorney. It may be difficult to find a tax attorney within your budget, but an experienced and skilled tax attorney can make the difference between a successful outcome and a costly court appearance.
While hiring a tax lawyer can be expensive, the fees charged by tax attorneys vary greatly. Most attorneys charge an hourly rate that is usually between $200 and $400. Some tax lawyers charge up to $1,000 an hour. So, it’s worth spending a little more time in finding an excellent Tax Levy Lawyer in your area. If you can’t afford to pay the full fee upfront, finding an attorney with a lower rate is likely to be the better choice.