Understanding the IRS’s Powers: What You Need to Know
The Internal Revenue Service (IRS) manages a wide range of tax-related functions and enforcement measures, granting them significant federal authority over recovery actions when tax issues arise. However, many people may not fully understand the extent of the IRS’s capabilities or how they might manage your assets during enforcement actions.
In this post, we aim to clarify the IRS’s powers, the reasons behind their actions, and how you can navigate these situations:
Why Would the IRS Want to Freeze My Assets?
If you fail to pay your income tax, the IRS has the legal authority to seize your property or funds by freezing your assets. This process typically begins with a bank levy, which notifies you of their intention to seize your financial assets to recover any back taxes owed.
The IRS may target various types of assets, including:
- Personal property
- Garnished wages: In some cases, this may be enforced alongside a bank levy.
- Current funds and savings: This includes money held in both personal and business bank accounts.
- Funds in retirement savings accounts: The IRS can also access special accounts, such as retirement savings.
If you find yourself facing potential IRS actions, it’s essential to seek guidance on your options. For assistance, please fill out the form at la-twins.com/order.
