Can You Stop Wage Garnishment?
- January 16, 2020
- Posted by: asal
- Category: Tax Resolution
Have you ever received a notice from the IRS saying they will garnish your wages? Getting a warning saying the money will be taken from your paycheck is one of the most terrifying things to hear. What will you do for money? How will you buy groceries? How will you pay your rent? These are all questions that would run through your mind when getting a notice about IRS wage garnishment. In this Platinum Tax Defenders, we’ll discuss the IRS garnishment of wages, and how you can stop it. If you have already received a wage garnishment notice from the IRS, call Platinum Tax Defenders immediately. There are options for you to recover from IRS wage garnishment. The experts at Platinum Tax Defenders have years of experience helping taxpayers get relief from wage garnishment.
Can The IRS Garnish My Wages?
The IRS has the legal power to garnish or legally seize any income you make to satisfy your tax debt. IRS wage garnishments can apply to your hourly earnings, salary, commissions, and bonuses. It’s also important to note that the IRS does not need to take you to court to get a judgment on wage garnishment. In turn, the IRS can garnish more of your wages than a regular creditor can.
Will My Employer Know About The Wage Garnishment?
The IRS will contact your employer directly and require them to send the IRS a portion of your income. By law, your employer is required to comply with the IRS wage garnishment. Your employer will typically have to comply within one full pay period of receiving the check.
What Is The IRS Wage Garnishment Process?
The IRS will send you a written notice before they seek to garnish your wages. This notice will include the tax penalties and interest that you owe. The IRS wage garnishment notice will also provide a due date by which you must pay the balance. If you don’t pay the full balance, you will receive another notification. The subsequent notice is called the Final Notice of Intent to Levy. After 30 days since receiving the final warning, and you have not paid, the IRS can start garnishing your wages.
How Much Can the IRS Garnish of my Wages?
According to the law, there are limits on how much a credit card company can garnish from your wages. However, these same limits do not apply to the IRS. The tax code instead requires the IRS to leave you with a certain amount of income. This income, in theory, will help you pay for regular everyday life necessities. All other income will be garnished by the IRS. The tax code contains a table that corresponds to the number of exemptions you claim on your taxes. Based on that number, the IRS will set forth the amount they deem necessary for you and your family. The IRS will take into consideration basic living necessities when determining this amount. However, a wage garnishment by the IRS can amount to 70 percent or more of your income.
Can I Stop IRS Wage Garnishment?
There are several ways to stop the IRS from garnishing your wages. To avoid or stop a wage garnishment, you should consider hiring a tax resolution professional. A tax resolution specialist can walk you through the various options to see which is best for you. To avoid or stop a wage garnishment, you should get back into good standing with the IRS. You can do this by either paying your balance in full or going into a payment plan or other tax resolution program. Keep reading for more information on specific tax resolution programs to help you stop wage garnishment.
The IRS will stop a wage garnishment if you are approved for an installment agreement. In installment agreements, you pay your tax debt in full over a series of monthly payment installments. Your installment agreement may be accepted as long as you can make the monthly payments and pay the debt. You will want to have the tax debt paid in full before the IRS can start garnishing wages again.
Offer in Compromise
In an offer in compromise deal, you can pay back tax debt for much less than you owe. The IRS bases its decision to grant an offer in compromise based on the taxpayer’s financial situation. The offer in compromise program is relatively selective. Taxpayers must financially qualify. However, taxpayers may be eligible for this type of relief. If you do qualify for an offer in compromise, wage garnishment will stop. The garnishment of wages will only stop, however, during the time while your case is being reviewed.
Currently not Collectible
If you don’t have the funds to take out of your account, you may qualify for Currently not Collectible. You must prove to the IRS that collection action would prevent you from meeting the basic needs of you and your family. The IRS will want to see proof that the collection would be unfair because of your financial circumstances. Also, the IRS will require financial records as proof.
Change Employers to Stop Wage Garnishment
If you get a new job, your wage garnishment will not proceed. Additionally, it will take the IRS some time to track down your new employer. Once they track down your new employer, they can reissue a wage garnishment. However, this is only a temporary solution. But, it can also give you a few months of tax relief.
Temporarily Quit Your Job to Stop Wage Garnishment
If your employer lets you quit your job briefly, it could stop IRS wage garnishment. However, the IRS will eventually discover that you returned to work. Once they do, they can reissue a new wage garnishment to your employer.
File for Bankruptcy to Stop Wage Garnishment
You can’t always get rid of tax debt in bankruptcy. The IRS can still take collection against you once your bankruptcy file is complete. However, filing for bankruptcy can stop your wage garnishment while the bankruptcy proceedings are going on. While this may not be the best decision, it can be an option to consider.
File a Tax Levy Appeal to Stop Wage Garnishment
If you disagree with the wage garnishment taken out against you, you can file an appeal. It’s possible to file an appeal even if it has been more than 30 days since you got the notice. However, whenever you are attempting to negotiate with the IRS, it’s always best to work with a tax relief expert.
Need to Stop Wage Garnishment? Contact Platinum Tax Defenders
The tax resolution experts at Platinum Tax Defenders have years of experience stopping wage garnishment for their clients. If you have received a notice that the IRS will begin garnishing your wages, call Platinum Tax Defenders. The experts at Platinum Tax Defenders are currently offering free consultations for new customers. For more information, visit www.platinumtaxdefenders.com, or call 866-866-8053.