Levy

Tax Debt and Collections, Taxes & IRS
Published Date: October 24, 2024
Last Modified: 1 month ago

What is a Tax Levy and How Does It Work?

A tax levy is a legal action taken by the IRS to seize your property, like your bank account, wages, or other assets, to satisfy a tax debt you owe. This happens only after the IRS has made several attempts to collect the taxes. It’s a method the government uses to get paid when you don’t voluntarily pay your taxes.

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Tax Debt and Collections, Taxes & IRS

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A tax levy is a legal action by the IRS or state tax agencies to seize your property or funds to pay outstanding tax debts. Understanding how levies work helps you protect your finances and address tax issues promptly.

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Asset seizure by the IRS occurs when the government legally takes your property to settle unpaid tax debts. Knowing how this process works helps you avoid losing assets and manage tax issues proactively.

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