• August 20, 2019
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Most people end up in a state of panic when facing an IRS tax levy, as the possible repercussions are not limited to their bank accounts or wages. When a taxpayer receives a tax levy notice from the IRS, it is possible that the IRS may even freeze their assets. The IRS is legally authorised to hold on to your assets and your bank funds if you neglect or fail to pay your taxes. Thankfully, there is still hope. So, if you have been wondering, ‘how to stop an IRS tax levy’, this blog post is for you. Read on.

Requesting a CDP Hearing

Appealing for the Collection Due Process (CDP) hearing is the most common way to delay the seizure of your assets by IRS. You get a month to request a CDP hearing and once the period is over, there is nothing you can do to stop IRS. Requesting a CDP hearing doesn’t mean you will have a hearing in a tax court within 30 days; it’s just a time frame to apply. The CDP form is to contain of all your information and the reason(s) to stop the levy.


Paying the Debt in Full

If you are in a position to pay the tax debt in full, do not procrastinate.  People facing an IRS levy notice often seek financial help from their friends or family or liquidate some of their holdings to pay the debt. To pay the debt in full, you can also consider taking a personal loan that it would have lower interest than the IRS penalty and interest. Make sure to raise as much money as possible to minimize the debt.

Requesting an Installment Agreement

An installment agreement gives taxpayers the liberty to pay their taxes in monthly installments. Under an Installment Agreement, you have to pay debt over the period within 7 years, or before the Collection Statute Expiration Date, the date after which the IRS has no authority to exercise any collection efforts. When requesting an installment agreement, make sure you would have a source of assured income to pay the installments. Many people choose to take personal loans, as the annual interest rate in installment agreements ranges from 6 to 12 percent and compounds on a daily basis.


Declaring CNC Status

Many taxpayers are in no position to pay their tax debt, and collecting taxes from them will only worsen their financial hardships. In such cases, the taxpayers can request for a CNC (Currently Non Collectible) status that pauses all collection efforts of the IRS. To request CNC status, you need to carefully outline of your financial situation and provide supporting documents. When processing CNC requests, the IRS considers various factors such as the applicant’s income, necessary expenses, savings, assets and other financial aspects.

Looking for IRS Levy Help? Speak with Us!

While this blog post should be enough to help you understand some of the various ways to stop an IRS tax levy, the IRS tax law is a complex maze  which calls for the in depth knowledge of a tax professional. If you are up against an IRS tax levy or any other IRS tax debt related problem, contact the Law Offices of Nick Nemeth. For a FREE no-obligation consultation, or fill out our contact form or simply call (972) 426-2553.

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What Our Clients Have to Say

Susan WilsonSusan Wilson
03:27 25 Jan 23
I have been very pleased with the solid counsel and guidance that Nick Nemeth has provided me regarding my tax issue. I found him to be honest and straightforward which I appreciated. I was impressed with his relevant experience and knowledge . He has definitely brought me peace of mind during a difficult and stressful time.
Sarah HowardSarah Howard
03:44 14 Nov 22
I would like to thank Mr. Nick and his staff for the superb help that I received from them. My IRS problem was resolved quickly and efficiently. It took 2 visits to convince me that I was over my head. I thought that I could call the IRS, appeal my tax notices and settle on a payment plan on my own. After many phone calls to the IRS, waiting sometimes more than 4 hours with no resolution to speak of, it proved to be extremely difficult and stressful. Revisiting Mr. Nick was a huge wake up call. My account was reviewed, and a payment plan was established with the IRS within a week. I will be forever grateful to the staff who worked on my case and especially to Lorna who listened to me vent while going through this painful process.
00:33 07 Aug 22
I cannot say enough good things about Nick and his team. When I first met with Nick he was up front, honest, friendly and efficient. When I worked with one of his attorneys, Eric B, I was just as pleased. All of the staff there are nice and very helpful. I wish I hadn't waited so long to get help with my issue. Over 6yrs I tried getting through and getting anywhere with the IRS and hardly made any progress. I know this may not be the case for all, and even I thought it would take longer than it did, but 3mos and they had my situation straightened out. I still can't believe it. Thank you thank you THANK YOU for all that you did for me. This is a huge burden gone out of my life now thanks to you. If anyone needs help out there, I know you may not want to shell out more money to get their help but it may just save you in the long run.
Spoilly GirlSpoilly Girl
23:49 03 Aug 22
The Nemeth Law team is exceptional. They treat their clients like a family member who is in crisis. They want you to get the best possible outcome. I really appreciate everything that they did for me. Jake and Ashley had the greatest role in my case and it all turned out for the best for me. Thank you Nick and team for easing my fears and getting me through the long process. I'm truly grateful.
Eddie WaltEddie Walt
19:44 12 Jul 22
During a time in which competent, professional service at a fair price seems to have disappeared, Mr. Nemeth and his team are a refreshing breath of fresh air.From my first phone call to the final settlement of our case with a non-responsive IRS, they under-promised, over-delivered and were in constant courteous contact to make sure we knew exactly what was happening and where we stood.I hope to never need their services again, but, should I receive another friendly letter from the IRS...I know who to call!
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