What is a bank levy?
If you have failed to pay your taxes or go into debt with the IRS, they can seize your finances and assets.
The process of releasing your frozen bank accounts from the IRS is a “bank levy release.”
A bank levy is issued by the IRS when your taxes remain unpaid and a resolution has not be reached. The IRS will freeze your bank accounts and seize any money in your bank account up to the amount that is owed including penalties and interest. The IRS can issue a bank levy as many times as needed until the tax debt is paid.
The IRS is very determined in collecting your tax debt and will come after your wages and property as well. During an IRS bank levy, once the bank freezes your account, you have to make arrangements within 21 days. If you have failed to comply, the bank will send the funds to the IRS the day after.