Venice Bank Levy Lawyer

Venice Bank Levy Attorney

A bank levy is one action the Internal Revenue Service (IRS) may take to recover tax debt you owe. The IRS can recover the entire debt you owe by removing it from your bank account or multiple bank accounts. Before the funds are removed, your account will be frozen. It can be terrifying to deal with a bank levy and other collection actions by the IRS. A Venice bank levy lawyer can help you deal with a bank levy and the underlying debt.

Hire a Bank Levy Lawyer You Can Trust in Venice

The team at TaxSmith, LLC, has decades of experience with tax codes and has helped many taxpayers navigate IRS and Florida Department of Revenue (DOR) tax debt. If you cannot repay the debt you owe to a tax agency because of your financial situation, there may be options. It’s important to act quickly if you receive a notice of a bank levy or another action, like a lien. Our firm can talk through your options and help you make informed choices.

There are several methods to potentially limit your tax debt if you don’t have the financial ability to pay it back. We can talk you through these methods and represent you in negotiations with the IRS or DOR. This can pause some collection actions, avoiding the financial hardship of a bank account freeze and the loss of funds.

What Is a Bank Levy?

A bank levy occurs when the IRS freezes your bank account and then seizes money in that account to cover the tax debt you owe. It is one of the methods the IRS uses to recover debt owed by taxpayers who have ignored attempts to contact them to repay the liability. If you receive notice of the IRS’s intent to levy your account, it is crucial that you act quickly. There are ways to prevent the seizure if you act.

If you do not respond to the IRS, the levy will remove money from your account, which could be all of it to cover the debt. The agency could also levy funds in multiple bank accounts.

The IRS in 2024 took collection actions and assessed penalties, including:

• Nearly 197,000 tax liens filed
• Assessing over 50.7 million civil penalties
• Over 629,100 delinquency investigations
• Nearly 313,800 notices to third parties for levies
• 71 actions of asset seizures

Losing money through a levy or other asset seizure is not the only option, however. The IRS is willing to work with taxpayers who do not have the financial ability to pay the tax liability they owe. In 2024, the IRS helped over 62 million taxpayers with filing questions and navigating many different issues. When you hire a bank levy lawyer, their guidance and support can make it even easier to work with the IRS and resolve your tax debt.

What Is the Process of Implementing a Levy?

If the IRS places a bank levy on your account, it is not the first step the agency has taken to recover the debt owed. Generally, the agency will follow this process:

1. The IRS assesses the tax debt you owe and sends you a bill for that tax.
2. If you do not pay the tax or contact the IRS to address your debt in any way, it may choose to put a levy on your account. This is more likely if you owe a significant amount.
3. The IRS sends notices that include a Final Notice of Intent to Levy and a Notice of Your Right to a Hearing to you and a Notice of Third-Party Contact to your bank.
4. Your account is frozen 30 days after the notices are sent.
5. After 21 days, the IRS removes your account’s funds.

The levy can remove the entirety of the debt you owe, as well as any penalties or interest that the debt has accrued. Unlike other creditors, the IRS doesn’t have to get court approval to place a levy on your bank account. During the 30-day or 21-day waiting periods, you should reach out to an attorney.

FAQs About Venice, FL Bank Levy Law

Can a Tax Attorney Stop a Levy?

A tax attorney may be able to stop a levy, but it will take actions like negotiating your tax debt with the IRS, paying back the debt you owe, or other direct actions. When you hire a bank levy attorney, they can assess your financial situation and explain what options you have to resolve a bank levy. It is important that you act quickly after receiving notice of a levy, or else you will have a frozen bank account.

What Kind of Lawyer Do You Need If You Are Facing a Bank Levy From the IRS?

If you are facing a bank levy from the IRS, you need a tax attorney who deals with collection actions like levies and resolving tax debt settlements. When you have tax debt you cannot pay back, then an attorney can help you look at other options. They can negotiate on your behalf with the IRS for resolutions like installment agreements, penalty abatement, and offers in compromise.

How Much Do Tax Debt Lawyers Typically Charge?

Tax debt lawyers typically charge an hourly rate or flat fee, depending on the type of tax service needed. If you need support negotiating with the IRS, stopping collection actions, and resolving a dispute, this is more likely to be charged by the hour. The exact rate an attorney charges will rely on factors like their experience, the complexity of your case, and the firm’s location. Always discuss fees upfront with the attorney.

Can a Lawyer Negotiate Tax Debt?

Yes, an attorney can often negotiate tax debt, although if you have the financial ability to pay your debt, then the IRS expects you to pay in full. If you cannot afford your debt, it is important that you find an attorney who is licensed to work with the IRS on your behalf. They can represent you or prepare you for meetings with the nearest IRS Taxpayer Assistance Center Office, which is the Sarasota branch on Cattleridge Boulevard.

Venice Bank Levy Attorney for Your Bank Levy Cases

It can be very financially destabilizing to deal with IRS or DOR collection actions. If paying your debt would put you in financial hardship, there are options to pause these actions. Contact TaxSmith, LLC, today and learn how our Venice bank levy lawyers can help.