Levy Releases

[JoshinNC]

Just a general question. In doing research on wage and bank levies I have noticed that there are many "firms" out there that GUARANTEE the release of a wage or bank levy for a fee.

What special "tricks" are they using? Does anyone on the board have experience either working with or for these types of operations? Is this just a ploy or is there some substantiation to their claims?

I would really like to know if there is a way to get a levy released just by some type of procedure, or are these folks just prolonging the inevitable and making matters worse for their clients.

[jainen]

no big deal

A levy is simply a secured claim for money. In many cases the money has already been paid or the claim is otherwise not enforceable. In some cases the creditor will negotiate a settlement. If the levy or lien is causing problems, it may be worth a no-risk try, but often the client can do as well as his own. It is a routine matter in refinancing a home. Usually a knowledgeable researcher can quickly determine what is needed to clear the lien. If he is not successful, he can honor the guarantee by returning the fee and only be out a little time and a few phone calls or letters. Attorneys are used to working on contingency, so taking such a chance is no big deal.

[JoshinNC]

I'm talking about IRS levies

Here is an example site:

https://www.taxnegotiations.com

these folks GUARANTEE release of the levy. i just don't see what special steps they are taking.

[Unregistered]

First, note the small print - a guarantee to release the levy OR you pay nothing.

Second, most of the taxpayers who go to these guarantee guys don't owe big bucks (maybe to them but not to the IRS) and most are dealing with ACS. As an example, suppose the taxpayer owes under ten thousand. If you are a C 230 practitioner and have a POA, ACS will give you an AUTOMATIC installment agreement on that liability. Once you have the IA, §6343 mandates that the levy be released.

If the liability exceeds 10K, you might have a little more work on an IA, but as soon as you get it on the phone, the levy will be released. §6343 requires that. So the IA is one way to guarantee your success.

New York Enrolled Agent

[Gretel]

That's very interesting. Thank you so much for this information.