Respond when a bank reports an IRS levy

What the IRS guidance explains

For a bank levy, the bank generally holds affected funds for 21 days before sending them to the IRS. Act promptly and use the IRS contact identified by the levy or notice. Collect the bank's levy information, the relevant IRS notices and documents showing any hardship or account error. A bank's hold and a later release decision are separate steps; do not assume that scheduling a consultation releases the funds.

Preserve the bank and IRS records separately

Collect the bank’s levy communication, the affected account information, and the relevant IRS letters. Record the dates shown by each source rather than guessing from the day you first noticed a lower available balance. If several account holders are involved, clearly identify ownership records.

Keep documentation of any claimed error or inability to cover basic expenses nearby. Ask what information is needed to evaluate the issue and how to deliver it securely. Record each contact and instruction. A scheduled private consultation should never be described to the bank as an IRS release decision.

Prepare the working record

Use this guide’s interactive checklist to organize the specific task. On your printed copy, note the source of each document and the date. Treat a missing item as a question to resolve; do not fill in an uncertain figure merely to make the packet look finished.

Before sharing evidence, verify the recipient and a secure delivery method. Keep a record of what you provided, when, and which question it addresses. Preparation helps explain the facts; it does not determine tax liability, approve relief, or extend an official deadline.

Your practical checklist

Keep exploring

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• Prepare for a wage levy conversation
• Document immediate hardship from a levy