Tax Debt Solutions Blog

5 Ways to Get a Tax Levy Release

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If you are unfortunate enough to get a tax levy, this means the IRS has given you chances but you didn't cooperate with them, or maybe just threw that mail away.  Either way, you will need to work fast to make sure you don't end up with collections coming after your assets.  Here is a small list of 5 ways to get a tax levy release.

1. Pay what you owe.  This is the fastest and easiest way to resolve the situation before any of your assets get seized.  This could cost a lot of money but it may be easier to pay small interest for a bank or other loan so you can handle this right away.

1. Ask the IRS to let you set up a payment agreement.  This is much like the installment agreement the IRS allows but the payments you make will be smaller.  This is a great option to get a tax levy release while still taking care of your debt with the IRS.  Make sure you keep to the payment schedule and don't miss any payments at all.

1. Prove that your assets don't have equity.  If you are already facing hard times and your car is a piece of junk, let the IRS know this.  They won't seize your vehicles if they are old, need severe repairs, or don't run. They don't know the car you bought 2 years ago was destroyed by vandals but a picture will help you get that message across clearly and immediately.

1. Appeal.  Yes, you can appeal the IRS levy right away then you may not have to worry about a tax levy release at all.  Sometimes collectors won't use ethical practices when dealing with you. If you suspect they weren't honest with you, that's definitely grounds for appeal.

1. File Bankruptcy.  This should be a last resort option but this can be a tax levy release by order of the courts.  This isn't a step that should be rushed so make sure you consult your accountant or a tax professional.