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Responding to a notice of intent to levy from the IRS

On Behalf of | May 3, 2024 | Solutions To Tax Controversies

A notice of intent to levy is a formal notification from the Internal Revenue Service (IRS) informing you of their intent to seize your property or assets to satisfy a tax debt. Some of your assets that could be seized include your wages, bank accounts, vehicles and real estate.

Receiving this notice can be distressing, but it’s important to understand what it means and how to respond to protect your assets. Here is what you need to do.

Understand the reasons behind the notice

Ensure you understand why the IRS sent you the notice. Most likely you have unpaid taxes or have not responded to previous notices from the IRS regarding your outstanding taxes. The notice should outline the amount you owe and the payment options.

It’s equally important to carefully note when the IRS can actualize the seizure of your assets so you can act before this happens.

Weigh your options

You may have several options to resolve the matter, depending on your situation. You can either clear the amount owed or look into a payment plan, an offer in compromise or an installment agreement with the IRS. 

If you dispute the figures or believe there is a mistake, you can request a hearing or file an appeal. You have a right to be heard before the IRS takes your property. You may also provide new information the IRS had not previously considered in their audit. 

Seeking legal assistance when you receive this notice can help assess your situation and help you respond accordingly. Do not ignore or put it off as it can lead to undesirable consequences. Remember, the IRS can start the levy process 30 days after sending the final notice, so it’s important to act promptly.