What can the IRS do to your wages if you owe a tax debt that you haven’t settled? Do they require your permission on any documents in order to start repaying the amount that you are indebted to them?

If you owe a tax debt to the IRS that you haven’t settled, they have several options to collect the amount owed. Here are a few actions the IRS can take regarding your wages

1. Wage Garnishment

The IRS can issue a wage garnishment order to your employer, requiring them to withhold a portion of your wages to satisfy the tax debt. The amount withheld depends on your filing status, number of dependents, and deductions.

2. Federal Payment Levy Program (FPLP)

The IRS can also initiate a levy on certain federal payments you receive, such as Social Security benefits or federal retirement payments. They can withhold a portion of these payments to fulfill your tax debt.

3. Tax Lien

The IRS may file a Notice of Federal Tax Lien, which becomes a public record and attaches to your property, including real estate, vehicles, and financial assets. This can affect your ability to sell or refinance the property.

Regarding permission on documents, the IRS generally does not require your permission to initiate collection actions. However, they are required to provide you with notices and opportunities to respond or appeal their actions. You have the right to challenge the amount owed or propose alternative payment arrangements, but the IRS can proceed with collection efforts if you do not respond or resolve the debt. It is advisable to consult a tax professional or seek assistance from the IRS to understand your options and obligations.

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