Have you ever found yourself asking, “why do I owe money to the IRS?” or thought about what to do if you owe the IRS money, or even asked “What happens when you owe the IRS money?” Have you wever wondered how to negotiate with the IRS on back taxes?
Well, I, too, once was like you. If you owe the IRS, pay attention and strap yourself in because I am about to let you know some things that might shake you and some things that will make you feel better.
If you owe the IRS and are in serious debt, then their most feared weapon is the tax levy. Using the powers granted to them through the Internal Revenue Code, the IRS can take some of your wages, bank accounts, social security payments, accounts receivables, insurance proceeds, real property and even a personal residence.
If you owe the IRS, then, trust me, they can levy upon the assets that are in the possession of the indebted taxpayer. This is called a seizure. Or, it can levy upon the assets in possession of a third party, like a bank.
The IRS can be a jerk even if you are not in debt. They send out over 8 billion pages of forms and instructions every single year, and, to boot, their easiest form (the 1040 EZ) has thirty three pages of instruction. Imagine how hard they can be if you owe money to the IRS.
Has anyone ever faced this challenge of trying to get out of their tax debt? Please comment and share your experience. Continue reading here. Good refereneces. Read more about this topic at this link.