One way the IRS can collect on individuals is by garnishing their wages. The IRS also has the power to garnish a taxpayer’s wages and levy their financial accounts, seizing up to the total amount of taxes owed. A wage garnishment is a form of a levy (in this case a levy of wages).
Wage garnishment happens when an employer is required to pay part of an employee’s earnings directly to the IRS, who issues the employer Form 668-W (Notice of Wage Levy – IRS Wage Garnishment). A wage garnishment is typically enacted against you by a Revenue Officer of the Internal Revenue Service. If you have received a notice from your employer about IRS Form 668-W being filed against you, you likely need help of a tax professional in dealing with this issue. One way to stop wage garnishments is to call the Revenue Officer directly and negotiate a payment plan that is acceptable to the IRS. This payment plan is typically based on your 433-A financial statements and backup documentation which you can furnish. Another way to Stop Wage Garnishments is to adjust your W-4 form by lowering the number of allowances, so that more is withheld from your paycheck for each pay period. This way the IRS Revenue Officer knows that you are serious about not accruing new liabilities at year end and may agree to stop wage garnishments. These are only two examples of legitimately stopping wages garnishments. IRS wage garnishment (aka IRS tax wage levy) otherwise will remain in effect until your tax debt is paid off.
If you are dealing with a form 668-W, call us to help you stop wage garnishments. Sometimes communication with the proper IRS unit or individual can be a good starting point.