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IRS Bank Levy Release
If your bank accounts have been levied, this was the final step in the IRS?s process to collect tax debts owed.
If the IRS has levied your bank accounts, the levy will stand until the time expires (Statute of Limitation) for collecting the tax debt, you pay off your tax debts in full including all applicable interest and penalties or the levy has been released by the IRS. During the initial levy period of 21 days, the funds held within your bank accounts will be frozen and unavailable for personal use.
If you successfully gain a levy release during this initial 21 day period, the funds will be returned to your account in full. If not, the bank will send the funds within the account to the IRS directly.
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IRS Bank Levy Errors
If the IRS has levied your bank accounts in error, you may be entitled to a release and reimbursement. You must file a determination appeal to the Tax Court within 30 days of the levy, using the appropriate IRS forms.
An IRS bank levy release is typically more challenging to receive than a wage levy release. To obtain a bank levy release, you must be able to show either extreme financial hardship or that the levy is invalid.
The best course of
action is to prevent a bank levy from occurring. For more information
about levies and resolving tax debts, contact one of our tax professionals.
For
more information about your IRS levy rights, contact one of our
tax professionals at 1-877-658-3477. Let our 27 plus years of
experience go to work for you in relieving IRS stress, IRS levy
pain, and IRS audit frustration.
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