How Can I Stop An IRS Wage Garnishment?
- July 20, 2019
- Posted by: asal
- Category: Tax Resolution
There are several collection actions the IRS can use to get the back tax debts you owe. One of the tactics the IRS can use is wage garnishment. When the IRS garnishes your wages, they legally authorize your employer to send them a portion of every paycheck. However, there are ways to avoid wage garnishment. Working with a tax resolution professional can help you avoid wage garnishment. Some circumstances could help you release the wage garnishment if you owe back taxes to the IRS.
How Can The IRS Garnish My Wages?
The IRS is legally authorized to garnish your wages. However, before they garnish your wages, they must first notify your employer. The notice from the IRS will immediately alert your employer to your tax issues. It could be embarrassing for a taxpayer to have their wages garnished because then their employer knows about their troubles. Employers are legally obligated to permit the IRS to withhold money from your paycheck to cover the back tax debt. The IRS can also withhold a more substantial amount of your paycheck than other creditors. By law, the IRS only has to leave you with a little more than $300 to pay bills. If you’re self-employed, the IRS can claim all of your annual income to pay back taxes.
How Does IRS Wage Garnishment Affect Me?
Once the IRS decides to garnish your wages, it has unlimited access to your income. The IRS only has to leave you with enough money to cover necessities. However, the IRS does not consider all expenses necessities. The expenses that the IRS believes essentials include:
- Mortgage or rent
- Medical or insurance costs
There is a predetermined table the IRS uses to determine how much of your wages they will garnish. The IRS only must leave you with $275 to pay for basic living necessities. If the IRS doesn’t leave you with enough to pay all your bills, you could go into even more tax debt. Therefore, it’s imperative to attempt to get the IRS to release the wage garnishment as soon as possible. You may also face financial hardships by having your wages garnished.
How can I remove an IRS Wage Garnishment?
Once the IRS starts to garnish your wages, it’s often difficult to get them to stop. The primary way the IRS will release a wage garnishment is if you pay the debt in full. In some instances, the IRS may not even allow you to request a wage garnishment release. Also, if you claim you are experiencing severe financial hardship, the IRS won’t always release your wage garnishment.
A Tax Relief Expert will Examine Your Tax Situation
When you receive a notice of wage garnishment from the IRS, contact a professional immediately. Platinum Tax Defenders will examine your tax situation to determine the best tax relief program. It’s possible that you may not even know how much you owe the IRS. Also, you may not know if you have any missing tax returns. A tax resolution professional will examine your tax situation to determine how to pay off your back taxes best. Platinum Tax Defenders can request a copy of your outstanding account balances from the IRS.
Additionally, Platinum can help you find any errors in your records that may result in higher debt than you owe. Platinum Tax Defenders will contact the IRS on your behalf and request a copy of those records. Call Platinum Tax Defenders today to avoid wage garnishment.
Pay Off Your Back Taxes
Another way to get the IRS to stop a wage garnishment is to pay off your back tax debt. Once you know how much you owe, you can determine the best way to pay off debts. If you can, it’s best to pay off the account entirely in one lump sum. If you owe more than you have saved, you may want to ask friends or relatives. You can avoid costly penalties and interest by paying off debts right away.
Pay off Back Taxes with an Installment Agreement
Another method to use for paying off back taxes is an Installment Agreement. If you can’t pay what you owe in full, you can set up monthly payments. However, when requesting an Installment Agreement, it’s best you ask for a realistic amount. A tax relief professional can help you determine how much you should seek. An Installment Agreement allows you to make monthly payments on what you owe. The IRS bases your payments on your income.
Pay off Back Taxes with an Offer in Compromise
An Offer in Compromise deal allows you to pay off your tax debts for less than you owe. The IRS grants few OICs to taxpayers, so working with a tax relief professional is beneficial. A tax resolution specialist will understand what forms to file. Additionally, a tax relief specialist will know what evidence to present to show that an OIC is the best option.
Appeal the IRS’ Wage Garnishment by Claiming Financial Hardship
If you are unable to get tax relief through another option, you can attempt to demonstrate financial hardship. When the IRS believes paying off debts will cause you extreme financial hardship, you may earn absolution. However, to show financial hardship, the IRS will make you show proof of your financial situation. The IRS will not grant you an entire wage garnishment release. However, the IRS will give you enough time to get your financial affairs in order.
Get help from a tax resolution specialist
No matter what tax relief method you use, working with a tax resolution specialist will help you get the best outcome. A tax relief professional can help you determine which payment method is best.
Additionally, a tax resolution specialist will communicate with the IRS on your behalf. An IRS wage garnishment can leave you in such bad financial shape that could last for years. The IRS can take as much money out of your paycheck as they want. When you work with Platinum Tax Defenders, we can help you avoid expensive wage garnishment. Contact Platinum Tax Defenders today for a free consultation.