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How Does IRS Wage Garnishment Works and How Much Amount Can Be Garnished?

by Rusel Crow

The IRS can put into practice wage garnishment to collect back taxesowed, if you haven?t paid your dues. Unluckily, you may first become aware that an IRS wage garnishment has been put into effect on receiving the paycheck.

The IRS is required to inform that they aim to levy a wage garnishment, but they don?t need to inform you that when it will affect and how much will they deduct from the paycheck. This implies that you can get a real shock thus, it?s vital to understand what it is and how it affects you.

How does IRS wage garnishment works

The IRS will always give you a chance to pay your tax debt which you owe in full; unluckily, if you are behind than this is not always possible. Many people ignore the notice they get from the IRS because they know that they can?t pay everything at one time. This can lead to wage garnishment. Once the IRS sends a notice by mail then they can garnish the wages within thirty days.

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The wage garnishment is usually a notice which is sent to the employer?s payroll department which mentions that they will deduct a certain amount every month from the paycheck and will send it to the IRS. If a person doesn?t obey this, then they have to pay stiff fines and penalties.

How much amount can be garnished?

The federal government has a set a limit on how much can be withdrawn from a paycheck through wage garnishment. The government guidelines are based on what they consider ?the disposable earnings? or what one can earn after federal and state taxes and social security is deducted from the paycheck. If a person has other automatic payroll deductions like retirement contributions than those can also be included. As per the rule, the IRS can deduct 25% of the disposable earnings.

In such case, IRS tax help can be taken from well qualified attorneys and professionals. An experienced attorney will assist you in the process and will give you guidance.


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About Rusel Crow Innovator   

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Joined APSense since, August 19th, 2010, From Ohio, United States.

Created on Dec 31st 1969 18:00. Viewed 0 times.

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