When the IRS is unsuccessful in their attempts to collect outstanding back taxes, they often resort to harsh means like a tax lien or tax levy to recover their money.
If you’ve received a notice of a federal tax lien or levy, don’t delay. Call Bayshore CPA’s, P.A. today.
We can negotiate a deal with the IRS to pay off your tax debt over time before they come after your property and assets.
We have helped business owners and individuals in the Mooresville, NC area, throughout North Carolina, and across the country resolve tax lien and levy problems.
What Is A Tax Lien?
IRS tax liens are typically attached to real estate.
- A lien can be attached to both private properties and business properties. When a public Notice of Federal Tax Lien is issued on a property, this alerts creditors that the government has a legal right to that particular property.
- The IRS does not actually seize the property, but uses the lien as collateral for the tax debt.
- If the lien is on a business property, it can include accounts receivable and will remain in place even if you file for bankruptcy.
- A tax lien is public and will impact your credit score if you do not act quickly to have the lien withdrawn.
If you fail to take action, a lien could prevent you from securing financing you may need to buy a car, get a mortgage, or business loan.
What Are Tax Levies?
The IRS uses a tax levy to seize your property such as a home, vehicle, or boat to pay off your tax debt.
They can also levy your wages, 1099s and retirement accounts if you are an individual, or confiscate your equipment if you are a business.
The types of federal tax levies include:
Bank Levy
The IRS can issue a Notice of Intent to Levy then freeze your bank account 30 days later.
Wage Levy (or Wage Garnishment)
The IRS can garnish a percentage of an employee’s paycheck each week until their tax debt is paid.
1099 Levy
The IRS goes after independent contractors by seizing an entire check owed to them.
Retirement Account or Social Security Levy
Pensions, profit sharing, stock bonus plans, and IRAs can all be levied by the IRS.
Put an End to Your Tax Problems
At Bayshore CPA’s, P.A., your peace of mind is our motivation.
Call our office now located in Mooresville, NC at 704-660-9317 to schedule your consultation.