What is a Tax Levy?
A tax levy is a legal action taken by the IRS or state tax authority to seize property or assets in order to collect unpaid taxes. If you owe taxes and have not responded to notices or made arrangements to pay, the taxing authority may file a tax levy to collect the debt.
When Can You File a Tax Levy Appeal?
If you receive a notice of a tax levy, you have the right to appeal the decision. The specific time frame and process for filing an appeal may vary depending on the type of levy and the taxing authority. In general, you will need to file an appeal within a certain number of days of receiving the notice of levy.
The Tax Levy Appeal Process
The process for filing a tax levy appeal will depend on the taxing authority and the specific circumstances of your case. In general, the following steps may be involved:
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Request a Collection Due Process (CDP) hearing. This will put a hold on the levy and allow you to discuss your case with an appeals officer.
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Gather evidence to support your case. This may include financial statements, tax returns, or other documentation that shows you cannot afford to pay the full amount owed.
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Present your case at the CDP hearing. You will have the opportunity to explain why you disagree with the levy and provide evidence to support your position.
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Receive a determination from the appeals officer. The officer may agree to release the levy, modify the amount owed, or deny your appeal.
If you are not satisfied with the outcome of the CDP hearing, you may be able to file a lawsuit in Tax Court or another court of law.
Conclusion: Dealing with a tax levy can be stressful and overwhelming, but you do have options for appeal. By understanding the basics of tax levy appeals and working with an experienced tax professional, you can protect your assets and resolve your tax debt. Contact us today to learn more about our tax relief services and how we can help you with your tax levy appeal.