IRS Wage Garnishment: How the IRS Stole Christmas

A free article on Finance

By: Tymon Hytem

Here’s the Rub: Payday is the day of the week that everyone looks forward to. It’s a shame that when someone owes the IRS money the day that you’re looking forward to, becomes a day of dread. A wage garnishment is one of the dirtiest tricks in the IRS’s arsenal.
It’s My Money! I’m sure when you see half of your paycheck disappear you’re angry that the IRS thinks they can take your money. When you owe back taxes, your money becomes Uncle Sam’s money. How can the IRS do that? Especially when you can’t buy your kids new clothes for school, heck you can’t even buy the kids school supplies.
When you owe back taxes to the IRS they can garnish anywhere from 50% to 75% of your paycheck. They figure what your basic living expenses are based on your filing status, number of dependants, and local standard of living. They leave you with the bare minimum to live, at the most meager conditions, and the rest is what they take to satisfy your delinquent taxes. Your employer is notified of the garnishment by the IRS and must comply. Even if you don’t get a paycheck, if you get social security or disability, the IRS can garnish that too. In fact the IRS can garnish up to 15% of social security.
Save Your Bacon. First of all you shouldn’t have let the wage garnishment happen. The IRS gives any target ample warning before they line up their sights on you. But now you’re getting garnished and you need some kind of tax relief. Here’s a couple of ways to save your bacon.
Enter into a payment plan with the IRS. With an IRS payment plan you pay a monthly amount to the IRS. As long as you pay this amount each month, on time, your wage garnishment will be lifted. Here’s the condition though, the IRS determines what you’re payment will be. This can be a burden, but the alternative is still much worse. At least it provides some tax relief.
Negotiate a settlement with the IRS on your own or with the help of a tax relief professional. While negotiating with the IRS, collection activities are put on hold until a resolution can be reached. Once your settlement has been accepted or denied you’re back in the danger zone, but as long as you live up to the terms of the contract you should be fine. Take Action! I can’t stress enough how important it is to take action as soon as you know there is money owed to the IRS. The number one reason you will be targeted for a wage garnishment is by putting off your tax debt problem.

Information about the Author:

Liv Worthington has worked in the debt management field for many years. She takes pride in helping all of her clients find the right tax firms when they need help with an urgent IRS tax problem like a www.irs-wage-levy-garnishment.com "> wage garnishment . If you are facing any sort of IRS tax levy, then you should be able to find www.irs-tax-debt-relief-solutions.com "> tax relief by using an expert tax advisor that specializes in delinquent tax problems.

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