What Happens In An IRS Seizure?
The IRS seizure is a three-step process designed to ensure that you are adequately notified before an IRS seizure can take place. First, the IRS will send a “Notification of Demand for Payment,” which is essentially a tax bill. Then the IRS wait for your response. If you ignore the notice, then the IRS will issue “Final Notice of Intent to Levy and Notice of Your Right to a Hearing.” This will be sent by certified mail, left at your last known address, or delivered to you personally. Once this has happened, you have 30 days to respond. If you do not make arrangements after that time frame, the IRS can start the asset seizure process.
What Can Be Taken In An IRS Seizure?
When it comes to an IRS seizure, they will be taking physical assets and valuable property such as:
- Vacation homes
Once these items are taken, they can be sold in an auction and that money will be used to pay towards what you owe in taxes. Unfortunately, they often get less than half the value of your assets, so the IRS will continue seizing your property until they are satisfied.