IRS Tax Collection
Internal Revenue Service Revenue
Officers have many techniques to collect money from
taxpayers. Tax collection techniques by the I.R.S. include Liens,
Levies and Seizures.
• A Federal
(I.R.S.) Tax Lien is a written notice
filed with the county similarly to a deed or mortgage. This gives public
notice of the taxes due and comes before any later liens,
judgments or sales. For example, if a homeowner tried to get an home
equity mortgage line of credit after a US tax lien has been filed, the
bank would deny the loan because the IRS tax lien comes first.
• A Tax Levy
is a written document commanding a bank or other
debtor to pay money owed by the taxpayer to the IRS
to cover taxes due. For example, the IRS could levy a
taxpayer's bank account and the bank would be forced to pay
over the money in the account up to the amount of the taxes. Another
example is a levy (execution) against wages where
the taxpayer's employer must pay over most of the wages or salary of
the employee each pay period.
• A Tax Seizure
is where the IRS Revenue Officer will take ("seize") assets of
the taxpayer to pay the taxes claimed to be due to the US Treasury.
Such seizures are typically automobiles, high-value tools,
art-works, furniture, jewelry and anything owned by the
The IRS and state tax employees will
continue to levy on the money and seize the assets of taxpayers to pay
taxes unless they are stopped!
Ronald J. Cappuccio, J.D.,
Counsellor at Law
at (856) 665-2121
or E-Mail Ronald J.
Cappuccio, J.D., LL.M.(Tax)
Consult with a
TAX LAWYER before you talk to the IRS!