Reliable Tax Advisor for Tax Levy in Houston, TX
If you received an Internal Revenue Service (IRS) notice of levy against you or any of your employees, customers, vendors or other significant third parties, it would be best to give us a call immediately. Unlike a lien which is a claim used as security for a tax debt, a levy will take your property to satisfy a tax debt. So, if you are faced with a tax levy in Houston, TX and are not sure which step to take next, Bobino Tax Consulting Services is here to help you out.
What is a Levi?
A levy is a legal seizure of your property to satisfy a tax debt. If you fail to pay your taxes or at least make arrangements to settle your debt, the IRS or State Agency may legally seize and sell any of your real and personal property which you own or have an interest in (unless the property is exempted from levy by the Internal Revenue Code). This means that the IRS can levy property that is yours but is held by someone else such as retirement accounts, bank accounts, licenses, accounts receivables, dividends, wages, commissions, and the cash loan value of your life insurance.
When is a Levy Issued?
If you do not pay your taxes or have not made arrangements to settle them, the IRS may decide that a levy is the next appropriate action. Before a levy can be issued, the following must have been done:
- The IRS assessed your tax and sent you a Notice and Demand for Payment;
- You refused or neglected the notice and thus failed to pay your tax; and
- The IRS sent you a Final Notice of Intent to Levy and Notice Your Right to a Hearing at least 30 days before the levy is issued.
How to be Released from a Levy?
The best way to release yourself from a levy is to contact the IRS as soon as possible to resolve your tax liability. A levy can also be released for certain reasons such as when the IRS has determined that the levy is causing an immediate economic difficulty, if it will help you pay your taxes, and if you have entered an Installment Agreement wherein its terms do not allow for the levy to continue.
If you are faced with a tax levy in Houston, TX, give us a call immediately. In such a situation, things can become confusing and can cloud your judgement. We are here to help you understand the process, think straight and find the best solution. Allow us to help you. You may reach our team at 832-483-2791.