It is the most drastic step in the collection process and if the levy is on wages it may reduce your paycheck to as little as $5.00 per hour.
However, if you demonstrate a strong, good faith effort to address your tax situation the levy in most instances can be released.
Good faith may be demonstrated by showing you have hired a tax professional such as myself and by showing that you are:
- Making a strong effort to file past due returns,
- Assembling data to request an Offer in Compromise or Installment Agreement,
- Attempting to sell assets or obtain a loan to pay taxes, or,
- About to suffer substantial hardship as a result of the levy.