Wage
garnishment due to unpaid taxes can deal a heavy blow to your finances,
cutting out anywhere between 30 to 70 percent of your paycheck. When
the garnishment goes into effect, it won't stop until your debt to the
IRS is paid in full. Thus, it's important to know how to stop an IRS
wage garnishment before it starts.
Garnishments
may not be as dire as a lien or a levy, but they are still crippling
punishments that can't go unnoticed. This is especially true if you
happen to be the sole breadwinner for your family, or are living on your
own with no one to rely on when financial problems strike. A
garnishment will also negatively affect your credit, reputation, and
your ability to receive bank services.
Since
garnishments are given because of a tax you've refused to acknowledge
or pay, the first thing to do is to not ignore the notices, whether it's
the tax notice or the notice of intent to garnish your wages. Instead,
find a tax firm who can serve as a medium between you and the IRS agents
so you won't be forced into a situation you can't deal with. If you
believe you can pay your back taxes when a reasonable payment plan is
offered, then it's important to have that arranged right away through
the firm.
But
if it happens that you truly are financially unable to pay the tax back
even with a reasonable payment plan, you will need to look into other
solutions. One solution is to declare hardship so the IRS can deem you
Currently Non-Collectable and give you time to improve your financial
situation. Another solution is to qualify for an Offer in Compromise
(OIC), which will allow you to settle your debt for less than the full
amount owed.
No
matter what your financial situation is, or what solution you want to
look into, it's best to work with tax professionals who can deal with
the IRS on your behalf. With their help, you can effectively stop IRS
wage garnishmentbefore it happens and make plans to get rid of the debt
you owe.
To learn more about tax debt relief, visit www.nationaltaxdebt.com.
