Who Can Live on Less Than $200 Every Week?
The Garnishment of Wages is the Internal Revenue Service's most powerful weapon. It is extremely important that any person having a quarrel with the Internal Revenue Service comprehends exactly what wage garnishment is and how seriously it can impact ordinary life. And, perhaps most importantly, everyone needs to know how to avoid the garnishment of wages totally.
The Garnishment of Wages Explained
Wage garnishment is the phrase used for the the governement's ability to seize part of your paycheck until your tax debt has been completely paid off. They can only do this after:
- the the governement has assessed the tax
- they have notified you several times, including a Demand for Payment and a Final Notice.
The government can then get in touch with your boss and have money withheld from your salary every pay period.
How Much Can They Take?
The Consumer Credit Protection Act (CCPA) says that a creditor isn't allowed to claim any more than a quarter of your salary, but makes a huge exception for federal and state taxes.
So what does that mean to me? Uncle Sam can claim every penny you earn beyond the small exemption that they let you keep.
Let's look at an example:
- If you are married and have two exemptions your take home pay would be only $359.62 per week
- A single person claiming one exemption would only be able to take home $179.81
Obviously, it would be near to impossible to pay your car payments, credit card payments, utilities, food, and rent or mortgage with that small amount of money.
Thank goodness IRS wage garnishment can be avoided if you act right away. It is pivotal that you take action as soon as you are sent the Notice and Demand for Payment. Call Uncle Sam right away and schedule an appointment to talk about a settlement. Through careful negotiation you may be able to reach an agreement on a plan of repayment that will let you have enough money to take care of your bills while you satisfy your IRS debt.
Don't try to negotiate with the Internal Revenue Service without help. The IRS will have their most aggressive agents working to take your money, and you better have top tax professionals defending your hard-earned paycheck. Contact tax experts right now and let them help you stop wage garnishment or get more information about IRS Debt at UnitedDebtSolutions.org.
