Tax levy overview

When you owe money to the IRS and fail to pay the balance due, the IRS can issue a levy against your income or assets. The IRS will typically send you a series of notices prior to issuing a levy. Unlike a lien, which gives the IRS a legal claim against your property, a levy actually gives the government a legal right to take your property, including:

  • Funds in your bank, investment and retirement accounts;
  • Wages, salaries, bonuses and commissions;
  • State tax refunds;
  • Social security and pension payments;
  • Cash value of a life insurance policy;
  • Inheritances; and 
  • Accounts receivable and merchant accounts.

Levy relief

It is critical for you to settle your unpaid tax balance with the IRS as soon as possible. If a levy has been proposed or issued, we can help you obtain relief if you:

  • Pay the balance due in full
  • Prove financial hardship
  • Establish a payment agreement with the IRS that does not allow a levy
  • Prove the levy was issued in error
  • Prove that the period the IRS has to collect the tax has expired
  • Applied for an offer in compromise
  • Prove that releasing the levy will help you pay more of the taxes due 

Our 3-step levy relief process

Step 1

First, we will review your situation and determine where you are in the collection process.

Step 2

Next, we will determine the basis for levy relief. This step may include requesting a payment plan, proving financial hardship or one of the other options listed in Levy Relief above. 

Step 3

Finally, we will contact the IRS to request your levy relief. 

Our Easy 3-step Tax Resolution Process

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Contact Us Today

Pruett Tax Law is committed to answering your questions about Tax Issues and Tax Resolutions in Arizona.

We offer a Free Consultation and we'll gladly discuss your case with you at your convenience. Contact us today to schedule an appointment.

221 East Indianola Avenue
Phoenix, AZ 85012
602-330-9817
Mon, Tue, Wed, Thu, Fri: 09:00am - 06:00pm

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