IRS Collection Methods

When you do not pay your taxes, you will receive a friendly letter stating that you have overdue taxes and asking you to pay them in full. This letter usually comes within six months to a year after the due date. If you ignore this letter, your file will then be assigned to the ACS (Automatic Collection System) branch and you will begin receiving a series of letters, each one more threatening than the last. The last letter is sent certified mail and states “FINAL NOTICE OF LEVY.” Your case is then assigned to a particular revenue collection officer, who will contact you or even visit your home or business. Thirty days after the date on this last letter, the IRS can seize the money in your bank account and/or garnish your wages. Can the IRS seize your car or home and sell it? Under the right set of circumstances, yes they can! In the case of a business, the IRS can seize the assets of the business, such as equipment, trucks, etc. and effectively shut the business down. That is the reason you need a trained professional to help you and protect your rights against forced collection. Obviously, you do not want this to happen, so it is better to address the delinquent taxes with the IRS before they contact you. Now is the time to “make a deal” to take care of those back taxes before forced collection begins.