What is a Levy?
How Does a Levy Work?
Let’s assume John Doe owns a house in the country and hasn't filed a tax return for five years. The catches up to him and sends him a $45,000 tax bill. John has fallen on hard times lately, and is unable to pay the . Accordingly, the IRS levies the house.
Levies can be on property, wages, bank accounts or anything else of value. A levy is not the same as a lien. A levy actually takes the property; a lien just places a restriction on the or transfer of the property.