If you have a tax liability and have made no effort to pay the amount due, the IRS can take actions to collect the amount due by levying your bank accounts, garnishing your wages or other income, or by taking other assets.
A tax lien establishes the government’s right to seize your assets and use the proceeds to pay your tax liability. A tax levy is the actual seizure of those assets. A wage garnishment forces your employer to withhold anywhere from 30% to 70% of your paycheck and turn that amount over to the federal government for the purpose of paying off your tax debt.
If the IRS places a lien on one or more of your assets, they must send you a notice of the lien within 5 days of the lien being filed. If you want to appeal the placement of the lien for any reason, you must request a Collection Due Process hearing with the Office of Appeals within 30 days after the fifth day of the lien being filed.
If you have had a lien placed on your assets or has garnished your wages, it is essential that you contact a tax attorney to protect your rights and your assets. Tax lien appeals can be won on many grounds, even if the tax liability is legitimate.