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IRS Levies & Liens Tax Relief Articles

Dormant IRS Levy Precludes Wrongful Levy Suit, IRS Wins


What happens if the IRS issues a levy to someone who does not owe taxes to the IRS, but the IRS does not receive anything from the levy.  The levy sits dormant for several years.  Everything is good, right?  But then the third party pays the IRS.  Can the person’s right to challenge the levy […]

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IRS Levies & Liens Tax Relief Articles

Avoiding an IRS Wage Levy by Change to Contractor Status


Can you avoid an IRS wage levy by having your employer change your status from that of an employee to a contractor?  The court addressed this in Hudiak vs. United States, No. MJG-11-1271 (D. Md. 2018) by ordering the taxpayer to make installment payments to the IRS despite the change in employment status. The Facts & […]

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Offer in Compromise Tax Relief Articles

Managing IRS Debts With Retirement Account Assets


Retirement accounts can present a number of challenges when trying to resolve an IRS debt. The IRS considers a retirement account as an asset in its collection analysis. The recent Scanlon v. Commissioner, T.C. Memo. 2018-51, court case provides an opportunity to consider the impact of retirement assets on IRS collection matters. The Facts & […]

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IRS Collections Tax Relief Articles

Congress Provides Significant Relief for Back Taxes


There are winners and losers when it comes to the recent tax changes proposed by Congress. As it turns out, those who owe back taxes to the IRS may be in the winner category. The proposed changes will significantly increase the amount of income that is beyond the IRS’s reach. If the legislation is passed […]

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IRS Levies & Liens Tax Relief Articles

The IRS Levy, What You Need to Know


If you owe the IRS back taxes, you need to know about the IRS levy.  This is the primary tool the IRS uses to collect unpaid taxes. About the IRS Levy The word “levy” is a legal term that refers to the process of taking property. Creditors are able to levy on property to satisfy […]

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IRS Collections Tax Relief Articles

When the IRS’s Collection Efforts Create an Economic Hardship


The IRS has broad collection powers that it can bring to bear to collect unpaid taxes. Even though it has these powers, it often chooses not to use them. This is especially true in cases where the collection actions would result in an economic hardship for the taxpayer. What is an Economic Hardship? The term […]