The Internal Revenue Service (IRS) has the power to enforce tax collection by seizing assets and garnishing wages. These actions, known as levies and garnishments, are authorized under Section 6331 of the Internal Revenue Code (“IRC”).

A “levy” allows the IRS to take possession of a taxpayer’s property, including bank accounts, real estate, vehicles, and other assets, in order to satisfy outstanding tax debts. This powerful tool enables the IRS to collect the funds necessary to settle tax liabilities.

Section 6331 also authorizes the IRS to levy, or “garnish” a taxpayer’s wages, salaries, and other income sources. Section 6331 establishes the framework for wage garnishment, allowing the IRS to withhold a portion of a taxpayer’s earnings to cover their outstanding tax obligations.

It is important for taxpayers to understand the implications of this statute and take proactive measures to address any tax debts they may have. Seeking guidance from a qualified tax professional is an important step in managing tax liabilities and mitigating the risk of levies and garnishments. If you’re subject to a levy or garnishment, I can offer professional advice to explore options such as installment agreements, or offers in compromise.