Levies, Garnishments & Liens What's the Difference?


Levies, Garnishments & Liens What's the Difference?


Other than prison time, levies, garnishments and liens are the tax collector's most powerful weapon for collecting tax debt.


In fact, as far as the IRS is concerned, they would prefer levies, garnishments and liens to prison time - since at least levies and garnishments guarantee that they get their money. If they send someone to prison, it actually costs them a lot of money to prosecute and it's hard to collect money from someone who's in jail.


"        A levy is the legal taking (seizure) of your personal property by the IRS to satisfy your tax debt. Wages, personal property or real estate can be levied against.


"        A garnishment is a type of levy, specifically against your wages or income.


"        A lien is a security held against your personal and/or investment property by the IRS.



What Can the IRS Levy or Garnish Against?



The IRS has the power to levy against anything you own:


They can levy against (seize) your:

-        House

-        Boat

-        Car

-        Motorcycle

-        Real Estate and more


As well as garnish anything that's owed to you:

-        Wages

-        Accounts receivable

-        Commissions

-        401(k)'s

-        Individual Retirement Accounts (IRA's)

-        Social Security and more



Obviously, things get ugly when your personal property gets seized and/or your bank account gets "raided"·


Checks start to bounce. Payments don't get paid. Cars get repossessed. Houses go into foreclosure. Credit ratings get destroyed.


If you haven't paid your taxes or you haven't filed, this could happen to you. The IRS has significantly stepped up levies and garnishments since 2004. And they show no sign of stopping.


If you've received a Notice and a Demand for payment from the IRS, don't ignore it or think it will go away. Call me at 405-607-1192 and see if I can help.


If you don't respond to the IRS, they will send a Final Notice of Intent to Levy and then you have 30 days to respond - or else.


If you've already received your Final Notice of Intent to Levy, stop reading right now and call me at 405-607-1192 immediately. There's not a second to waste.


Don't sit and watch while everything you own disappears before your eyes or your wages are cut to 25%-70% of the gross amount - just because you didn't take action while you still could.



A Federal Tax Lien: Like a Bad Dream Where You Can’t Wake Up



If the IRS places a claim on your property as a tax lien, it shows up on your credit report and can greatly damage your credit score.


The worst part is that you may not even be aware of the lien until you go apply for a credit card, car loan, home equity loan or to refinance. By that point lenders are hesitant to loan you any money.


Plus, a tax lien may make it very difficult to sell your house. A buyer will be reluctant to buy since the lien comes with the property and becomes his problem if you don't take care of it.


If you've had a lien placed on your property already, or if you've been served a Notice of Federal Tax Lien and you know that trouble's just around the corner, I may be able to help.


Call me at 405-607-1192 today for your free no-strings-attached consultation.


Avoid the stress that comes with levies, garnishments and tax liens. Take care of your IRS problem today.


I look forward to hearing from you.

Travis Watkins
Senior Tax Attorney
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