Questions About 1099

Did the Internal Revenue Service send you a Final Notice of Levy threatening to levy your bank or employer?

One of the worst feelings is when your employer notifies you that they have a Notice of Levy from the IRS instructing them to keep most all of your next paycheck. Equally bad is when your bank notifies you that they have a Notice of Levy from the IRS telling them to deliver the funds in your bank account to them. When the Internal Revenue Service doesn’t comply with the statutory requirements and send the required notice, a Notice of Levy is an unpleasant surprise. 26 USC § 6330 provides in pertinent part:

(a)  Requirement of notice before levy
(1) In general
No levy may be made on any property or right to property of any person unless the Secretary has notified such person in writing of their right to a hearing under this section before such levy is made. Such notice shall be required only once for the taxable period to which the unpaid tax specified in paragraph (3)(A) relates.

26 USC § 6330 provides this respecting the timing and manner of service of the notice:

(a)(2)  Time and method for notice
The notice required under paragraph (1) shall be-
(A) given in person;
(B) left at the dwelling or usual place of business of such person; or
(C) sent by certified or registered mail, return receipt requested, to such person’s last known address;
not less than 30 days before the day of the first levy with respect to the amount of the unpaid tax for the taxable period.

When you take delivery of the aforementioned notices and comprehend them when you receive them, you should see that 26 U.S.C. § 6330(e) provides that as soon as a Collection Due Process Hearing (CDPH) is timely requested “the levy actions which are the subject of the requested hearing…shall be suspended for the period during which such hearing, and appeals therein, are pending…” This provision renders the request for a Collection Due Process Hearing (CDPH) a highly useful approach to bring to a halt an IRS levy on a bank account or paycheck.

In the instance in which a levy was received by an employer but the notice had not been served as required by the above statutes, I have seen the IRS fax a release of levy to an employer in as little as two days subsequent to CDPH hearing request being sent. Now, all but the most ignorant of employees will be able to get all of their pay while the hearing is pending. Almost anyone can bring a halt to an IRS levy by timely requesting a CDPH hearing as provided in 26 U.S.C. § 6330(b)(1). I make available the forms to competently request a CDPH hearing in a situation where the statutorily required notice has not been sent at www.irsterminator.com.

Timely requesting the hearing is of the highest priority in order to make these statutory provisions work. 26 USC § 6330(a)(3) specifies that the information included with the notice the IRS sends you shall include:

“The notice required under paragraph (1) shall include in simple and nontechnical terms-
(B) the right of the person to request a hearing during the 30-day period under paragraph (2);”

However, if the IRS never served you with the required notice, it is not possible to determine when the 30 day period begins and ends. The free videos at www.irsterminator.com explain how to inform the IRS that their failure to serve you with the statutorily required notice makes your request for a hearing timely and entitles you to the suspension of collection activities including the levy at your bank or employer. Keeping collection activity suspended permanently is the challenging part. Those videos discuss plans I have come up with to keep collection activity suspended permanently.

Bookmark It