Who Should You Call About a Tax Levy and What to Prepare?

A tax levy represents a legal action by a government entity to seize a taxpayer’s property to satisfy an unpaid tax debt. This action differs from a tax lien, which is a legal claim against property to secure the debt, while a levy involves the actual taking of assets. Understanding this process and knowing who to contact and how to prepare for that communication is important for navigating the situation effectively.

Understanding Your Tax Levy and Its Origin

A tax levy notice typically arrives as an official letter, often featuring prominent letterhead from the issuing authority. These notices usually contain specific language, such as “Notice of Levy.” The document will also specify the type of property or assets subject to the levy, which can include bank accounts, wages, or even physical assets like vehicles.

To locate the issuing authority, carefully examine the notice for details such as the agency’s name, logo, or a return address. For federal tax debts, the Internal Revenue Service (IRS) will be the issuing body, and their notices will clearly display the IRS name. State tax levies originate from the respective state’s department of revenue or similar tax collection agency. While less common for income or wage-related issues, local government entities can also issue levies, often for property taxes.

Information to Gather Before You Call

Before initiating contact with any tax authority regarding a levy, gathering specific information and documents is important to ensure a productive conversation. Begin by having your personal identification details readily available, such as your Social Security Number (SSN) or, if applicable, your Employer Identification Number (EIN) for business-related levies. These numbers are used by tax agencies to quickly verify your identity and access your tax account.

Next, thoroughly review the tax levy notice itself and extract all pertinent information. This includes the notice number, the exact date the notice was issued, the specific tax period(s) involved, and the precise amount of the tax debt subject to the levy. Having copies of your relevant tax returns for the years in question is also advisable, as these documents provide a comprehensive overview of your filed tax obligations. Furthermore, compile records of any payments you may have already made toward the tax debt or any correspondence previously exchanged with the tax agency regarding the outstanding balance. This preparation allows the representative to efficiently locate your account and the specific levy, facilitating a more streamlined discussion about your situation.

Calling the Internal Revenue Service

When contacting the Internal Revenue Service (IRS) regarding a tax levy, the general phone number for individual tax matters is 1-800-829-1040. This line can connect you to various departments, including the Automated Collection System (ACS), which handles many collection cases, including levy notices. It is often advisable to call early in the morning, shortly after the IRS phone lines open, or later in the afternoon, particularly on Wednesdays, Thursdays, and Fridays during the off-season, to potentially reduce wait times.

Once connected, you will likely navigate an automated system before reaching a representative. The immediate goal of this call should be to understand the reason for the levy, verify the outstanding debt amount, and discuss potential payment options or procedures for an immediate levy release. If the matter is not fully resolved during the initial call, request a reference number for your conversation and, if possible, a direct contact number for the representative or department handling your case for any necessary follow-up.

Calling State Tax Authorities

Contacting state tax authorities about a levy requires identifying the specific agency in your state, as contact information varies. Each state has its own department of revenue or a similar tax department responsible for collecting state taxes. To find the correct phone number for your state’s tax collection or levy department, you should visit your state’s official government website and search for its Department of Revenue or taxation agency. These websites typically provide detailed contact information, often with specific numbers for various tax types or collection issues.

Just as with the IRS, have all your previously gathered information and documents on hand, including your Social Security Number or Employer Identification Number, the levy notice details, and relevant tax returns. While the specific automated prompts may differ from the IRS, the process of navigating the system and providing your prepared information to the representative will be similar. State tax authorities will also verify your identity and require details from the levy notice to access your account and discuss the specifics of the tax debt. The discussion should focus on understanding the levy’s origin, confirming the amount owed, and exploring available options for resolution or immediate action regarding the levy.