Irs Wage Garnishment

IRS wage garnishment is a simple process whereby the IRS arranges to garnish your wages for past due taxes. This is considered a form of personal property seizure. This works best with salaried employees. IRS wage garnishment follows a set pattern. Initially, you will receive a notice of past due taxes. This will include a demand to pay the amount in between 20 to 20 days of receipt of the notice. At this point, you may try to avoid the consequences by arranging a payment plan through a lawyer or revenue tax negotiator. If you ignore the notice and do nothing, you will receive a Final Notice of Intent to Levy. Included will also be a notice of your right to a hearing on the matter. If you continue to do nothing, after 30 days, you may face a wage garnishment. An IRS wage garnishment is issued in accordance with a specific formula. It is based on the amount of the taxes you owe, the number of dependents and certain other pertinent issues. Usually the amount is between 30% and 70% of your paycheck. The amount, however, cannot exceed 25% of your weekly income. To avoid this, you should talk to a reputable IRS tax attorney or negotiator.

Fast Facts

  • The IRS issued a combined amount of approximately 3.8 million wage garments and levies in 2007.
  • In 2000, the IRS issued a combine number of 250,000 wage garnishments and levies.

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