Practice Areas Tax Resolution

Wage Garnishment

Wage Garnishments is actually an order that requires an employer to withhold part of your earnings to pay off your tax debt. This happens to many tax debtors.
The order of Wage Garnishment could be issued if you:

Haven’t paid taxes in a long time
Forgot to pay taxes one year
Avoided paying taxes for financial reasons
Significantly underpaid your tax liability
Oppose taxation all together and don’t pay for years

IRS, as well as the courts and other federal agencies has the ability to garnish your salaries, wages, bonuses, commissions, and retirement or pension earnings.

In order to avoid wage garnishment, the IRS must be contacted as soon as an “Intent to Levy” or Notice of Levy letter is received, and you will need to set aside some time to meet with the IRS. You probably don’t want to deal with the uneasiness of having your employer receive an “Order to Withhold Taxes” letter from your wages. We, at Tenina Law, Inc. can contact the IRS to negotiate stopping a wage garnishment.

The Wage Garnishment Process

First, the IRS sends you a Notice and Demand for Payment. If you don’t pay the tax, the IRS will send you a “Final Notice” just 30 days before the wage garnishment begins. The Final Notice may be served by the IRS in person, at your home or usual place of business. The taxpayer doesn’t need to actually receive the notice for the notice to be valid (that usually happens when IRS does not have a current address for you). As a result, some taxpayers get wages garnished without ever receiving a notice.

Federal law limits the maximum amount that can be garnished to the lesser of 25% of your disposable income or 25% of your weekly wages that are over 30 times the minimum hourly wage. (In cases of child or spousal support, up to 50 percent of your disposable income can be garnished.) Your income typically can’t be garnished if it comes from Social Security, retirement plan or public assistance benefits. In addition, your income usually can’t be garnished if it comes from workers’ compensation awards, unemployment benefits or disability benefits. You cannot be fire by your employer for the inconvenience of dealing with a garnishment for a tax debt. However, you can be fired for having more than one wage garnishment.

Tenina Law, Inc and its associates have the knowledge and the experience necessary to assist you with wage garnishment problems. Dealing with tax issues are extremely complicated and stressful . you need a tax lawyer who specializes in tax law and has experience in helping people get rid of their IRS problems.