Avoid A Bank Levy - IRS Insider Information You May Want to Know

It is important information for the IRS to be trained to look for inconsistencies in the financial statement itself. The first question an agent will ask is if the financial statement makes sense? This is usually the first stem in the whole interview process made by an IRS agent. If the tax returns and bank deposits do not match then the IRS agent will want to resolve the situation immediately.

In many cases the agent will find that there are too many expenses and or not enough income to compensate for the unidentified taxes and the agent will go looking for unreported income and the likelihood for the taxpayer to be audited.

The IRS is not interested in any other debt than what is allowed by the National Standard Expenses. IRS has little or no concerns about any other expenses you may have and if you are paying credit cards, tithing, loans to third parties or college tuition, the IRS will generally never allow for these payments if it is not allowed by the National Standard. The IRS is mostly interested in income and financial assets and their eyes are fixed on what they can recover out of those available assets.

It is very important to note that the IRS will do everything in their power to take whatever assets they can if they deem necessary and they have many effective tools at their disposal. Among the available collections tools the IRS can use against taxpayers are, IRS levies, IRS liens, Wage levy - also called wage garnishment - bank account levy and in some extreme cases even prison (for payroll trust fund violations). Therefore one should use caution when dealing with the IRS and find the most fully competent IRS tax attorney to help you review all your forms and records before turning them over to the IRS.

Also keep this in mind as well, that the IRS can and will review all bank statements for the last 6 months to make sure all the records tie directly into the bank statements. They can pull credit reports to find out what monthly payments you may be making on credit cards, car payments, etc. IRS will in some cases use the internet to search and find out other sources of income and assets that they deem necessary in retrieving necessary funds from your accounts.

It is always a good idea, to hire trained and specialized tax lawyers to deal with the IRS; it is highly recommended to use only an experienced and independent tax attorney who is familiar with the IRS and how they will deal with your financial situation before you decide to work with them directly.

About the Author

IRS Levy Attorney Jim Gilland of Gilland Law Firm P.C. received his Juris Doctorate degree Drake Law School in 1995. He earned his Bachelor of Science and Master of Science degree from Brigham Young University in 1977 and 1978 respectively. He has been practicing law since 1996 specializing in Taxation and helping taxpayers in the Utah and Salt Lake City areas get legal help to solve IRS tax problems

Author (getmejustice). Submitted on Fri, 30 Sep 2011 Time: 2:42 PM

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