Like most Americans, you probably find yourself living paycheck to paycheck, working hard to get yourself ahead in life. Payday is finally here; you notice something terrifying when you go to check your bank balance. You find that there was only $479.81 deposited into your account, when there was supposed to be $1,625 deposited this week to account for the hours you worked. First thing you do is check your check stub; you notice something on the deduction line that you do not normally see. You see Garnishment – Department of the Treasury. The first thing you are probably thinking is, “The IRS is garnishing my wages, can anyone help me?” The answer is yes. In this article, I am going to discuss ways to stop IRS garnishments.
The IRS can garnish your wages without getting a judgment against you. That means if they have exhausted their avenues to collect back taxes owed from you and have not been successful, they can just start taking the money owed from you wages. This process will begin when the IRS sends you a written notice stating how much you owe and the terms of which you must pay it. If you don’t comply, the IRS will then determine the best way to collect the money from you. That might be putting liens on your assets, taking you refunds, seizing your property or garnishing your wages.
If the IRS starts garnishing your wages, there are limits to which the IRS is required to leave. That information is based on your most recent tax return. They are going to determine the amount based on your household size and determine that based on the number of exemptions you claimed on your tax return. You can download the IRS Publication 1494 here to see how much of your wages are protected.
The first an easiest way to stop IRS Garnishments is to pay the amount owed to the IRS in full. Though, this is rarely an option for any of us because most Americans are living paycheck to paycheck. So, if you don’t have the full balance to pay back the IRS, what are your other options. Your options are as follows: enter into an installment agreement with the IRS, submit an offer in compromise, enter into a partial installment agreement, wait for the statute of limitations to expire, file bankruptcy, put you case into currently not collectible, or seek innocent spouse relief.
I wouldn’t recommend just choosing one from the list and saying I am going to do this just so the IRS can stop garnishing my check. You will want to make sure the option you choose is the best move for you and don’t find yourself in the same situation months later because you choose an option that was difficult for you to commit to financially. I recommend, sitting down with an Enrolled Agent or a seasoned Tax Professional to determine what is the best avenue for you to choose and to be able to quickly get the garnishment lifted by expediting communication with the IRS. To schedule an appointment, click the link here or call our office at (856)232-0958 so you can get the IRS off your back.