IRS Levies and Liens: What They Really Mean and How to Stop Them
Getting a letter from the IRS can be stressful, especially when unfamiliar terms like “levy” or “lien” are involved. It’s easy to assume the worst, but these notices are more common than you might think. While they do signal that action is needed, they also present an opportunity to address the issue before it escalates.
Understanding what these terms actually mean, and what steps to take next, can help you protect your financial future and avoid unnecessary consequences.
Why Understanding IRS Levies and Liens Matters
When the IRS believes you owe back taxes, they have powerful tools to collect. Two of the most common are liens and levies . Knowing what these mean, and how to respond, can make all the difference between resolving things smoothly or facing real financial disruption.
What Is an IRS Lien?
An IRS lien is basically a public claim against your property when you don’t pay your taxes after being notified. It’s the government’s way of saying, “We have a legal interest in what you own until this gets resolved.”
It can attach to:
- Your home or other real estate
- Business assets
- Personal property
While a lien doesn’t mean the IRS is taking your stuff, it does cloud your ability to sell or refinance property and can show up in public records. It’s also a warning sign that the IRS collection process is moving forward.
What Is an IRS Levy?
A levy, on the other hand, is when the IRS actually takes your property. This could mean emptying a bank account, garnishing wages, or even seizing other assets.
Before they do this, the IRS must send you a Final Notice of Intent to Levy and give you at least 30 days to respond or request a hearing. Miss that window, and things can move fast, sometimes faster than you’d expect.
If you’ve received a levy notice, don’t ignore it. Acting quickly can stop the process and protect your income or accounts before they’re touched.
How the Collection Process Unfolds
Here’s the general timeline of how IRS collections progress:
- You get a notice (like CP14) , showing what the IRS believes you owe.
- If you don’t pay , the IRS may file a federal tax lien.
- Still no resolution? The case can be assigned to a Revenue Officer or the Automated Collection System.
- Next step: levy or garnishment.
At every stage, you still have rights, including the right to a Collection Due Process (CDP) hearing and to negotiate a resolution. But those rights are time-sensitive.
How Robert V. Boeshaar Attorney at Law, LL.M., PLLC Can Help
Here’s where it helps to have someone in your corner who knows exactly how the IRS works from the inside.
Robert Boeshaar is a former IRS attorney who’s spent years on both sides of the table. His firm can step in fast to:
- Request collection holds to stop levies in progress
- Challenge inaccurate claims or negotiate directly with the IRS
- Secure manageable payment plans or settlements (like Offers in Compromise)
- Protect your business accounts and assets from enforcement actions
Every case is unique, but one thing’s consistent: the earlier you reach out, the more options you have.
Don’t Wait, Act Before Things Escalate
A lien doesn’t have to turn into a levy. And a levy doesn’t have to wreck your finances. But both can, if ignored.
If you’ve received any IRS notice or you’re worried about back taxes, take the first step now. You can contact Robert’s team to schedule a confidential consultation.
You don’t have to face the IRS alone, and you definitely don’t have to wait until it’s too late.