With an IRS bank levy situation, Bank accounts are not locked, the IRS effectively takes whatever money is in the account(s) at the time the levy is processed by the bank’s legal department, up to the amount indicated by the Notice of Levy. The bank may hold the money for 21 days from the date of the levy, then must send the money to the Treasury. Although a difficult fight, we may be able to fight to secure a Bank Levy Release. You may still deposit money into the account after the IRS has issued a notice of levy, you may still write checks on deposits made after a levy has been processed. If you find yourself in this situation give us a call we have handled thousands of cases like these. Give us a call today at 214-236-9547.
Plenty of warning? … not always, often people who have not filed their returns for several years will get a surprise levy because the IRS has filed a balance due return for them (SFR-Substitute for return) with a balance due, the mail the notices to the last address the taxpayer used to file their federal income tax return – and since they have usually moved, they are usually unaware of what is happening until the IRS has already issued a levy on their wages, or their bank account. Sometimes leads to some embarrassing payment situations.