What Can the IRS Seize From Me When I Owe Unpaid Taxes?

On: October 13, 2023

One of the collection abilities that the IRS has is the option to seize your assets when you do not pay your tax debt. Having any type of collection action against you by the IRS is not a situation you want to find yourself in, but many taxpayers do.

Once collection efforts have been put into motion, it can seem like it all moves very quickly, and you may find yourself lost. Hiring experienced IRS tax experts is recommended as they can assist you in navigating what you need to do to become compliant with the IRS, explore assistance programs with you, and assist you in attempting to stop a seizure of assets.

What Can the IRS Take From Me?

When you owe a debt to the IRS, they will come after you and they will not stop until they have collected all the money you owe. The IRS is able to seize just about any asset that you do have and sell it to recover cash to apply to your balance.

The IRS is not typically too limited in what it is they can seize from you. While they cannot take anything that is required for your basic shelter and survival, they can seize the following:

• Vacation or second homes
• Additional vehicles
• Motorcycles, RVs, and recreational vehicles such as ATVs
• Fine jewelry
• Savings accounts
• Retirement accounts
• Life insurance policies
• Some government benefits

If you have been notified by the IRS that your assets will be seized, it is vital that you speak with an experienced tax team. The IRS can and will put its hands on whatever it can take, and it can all happen very quickly. To protect you, your rights, and your assets, turn to the experienced team at Leading Tax Group.

Are There Items Off Limits to the IRS?

Yes. While few, there are some items that the IRS is not allowed to legally seize from you. For example, they cannot seize your primary residence. This does not mean they cannot put a lien on it though. What they cannot do is kick you out of your home and sell it.

Other items they cannot seize include welfare or food stamps, primary vehicles, clothing, items needed for survival or basic needs, and certain types of income. Your tax professional can review with you any items that are not eligible for seizure.

Can I Buy My Seized Assets Back?

No. Once the IRS has seized your assets, there is no way for you to recover them. They are usually sold off rather quickly at a public auction. If the IRS does not seize property, but instead bank accounts, income, or any other form of cash, they will automatically apply it to your outstanding balance.

The goal of seizing and selling your assets is to pay off your tax liability as quickly as possible.

Can an IRS Asset Seizure Be Stopped?

Yes. It is not easy to stop an asset seizure that is in process, which is why it is critical that you work with an experienced tax professional.

Avoiding an IRS asset seizure is the best way to not have your assets seized and there are many ways to do this. Even if you cannot pay your tax liability all at once, there are options available to taxpayers to help them avoid the seizure of their assets.

Leading Tax Group Can Help You When the IRS Wants to Seize Your Assets 

The IRS has every right to seize your assets to pay off your tax obligation to them. While it is not something you want to think about, it can happen. Knowing your rights, options, and what to do next will make a difference.

The experts at Leading Tax Group are here to help you and can provide you with the best representation in any tax situation. Our team can represent you and assist in having an IRS asset seizure stopped. Whether you face wage garnishment, a levy, or any other type of collection, we are here for you.

Don’t just let the IRS seize your assets and give Leading Tax Group a call today to protect what you worked so hard for.