Tax Law Insights

An IRS tax levy is a seizure of a person’s property or rights to property.  The IRS then uses the seized property to pay taxes owed.  A levy allows the IRS to confiscate a person’s property, which includes cars, boats, real estate, and other “tangible” property.  The IRS can also levy and take a person’s wages, bank accounts, and retirement income including Social Security benefits.

The IRS has been authorized to impose levies since 1954. Generally, the IRS must wait at least 10 days from the date it sends a notice of intent to levy before it can make a seizure. This notice must inform ...