Many Massachusetts residents are behind on their tax payments. It happens, and its nothing of which to be ashamed. If you find yourself in this position and you fail to take steps to rectify the situation promptly, you may find the Internal Revenue Service taking the matter into its own hands. One way it may collect taxes owed is by garnishing your wages. What makes the IRS unique is, unlike other creditors, it does not have to obtain a court order to issue a wage levy.
There is a limit to how much of your wages the IRS can touch every pay period. It cannot take the full check unless you have other sources of income. To determine how much may be collected from each paycheck, the IRS will look at your filing status, any child support obligations you have to meet and the number of dependents you have, among other things.
When a wage levy is filed, any income you have is up for grabs. Your regular rate of pay is not safe. Also at stake are any bonuses, commissions or any other type of compensation you receive throughout the year.
Once the IRS starts garnishing your wages, it will not stop until your tax debt is fully paid. This does not mean the entire debt has to be collected through wage garnishment. Massachusetts residents have options when they are facing tax debt. A wage levy may be released by working out other payment options or by having the debt declared invalid. If you would like to learn more about this topic and how an experienced tax attorney can help you address tax debt, please visit our firm’s website.