Can the IRS Take My Paycheck?
Yes, and this is actually the most common enforcement action. But it can be stopped.
An IRS wage levy is continuous. Once it starts, the IRS takes from every paycheck until the debt is paid or the levy is released. They leave you a small exempt amount based on your filing status and dependents. Everything else goes to the IRS.
For many people, this means losing 60-70% of their take-home pay. That's usually what triggers the phone call to my office.
How to Stop It
Set up a payment plan. Once an installment agreement is in place, the IRS must release the levy. Demonstrate economic hardship. If the levy leaves you unable to pay basic living expenses, the IRS is legally required to release it. Enter Currently Not Collectible status. All enforcement stops.
A tax attorney can often get a wage levy released within days. Call today if the IRS is taking your paycheck.