I have a retirement plan I would like to liquidate. I also have debt with the IRS. Will the IRS seize the money?

I have worked out a payment plan w/ them and have payee them faithfully each month

Blakely Island, WA -

Attorney Answers (3)

Linda Simmons Campbell

Linda Simmons Campbell

Tax Lawyer - Burlington, CT
Answered

It depends on whether or not you have a lien filed against you. Even if you do and you need the money for necessary living expenses you may be able to keep some or all of the money.

info@cttaxhelp.com Office number: (860) 255-7423 Website: www.cttaxhelp.com. Our reply to your question has not... more
Bruce Givner

Bruce Givner

Tax Lawyer - Los Angeles, CA
Answered

It is unlikely that the IRS will seize the money before you receive the funds from the retirement plan. However, it is possible that the IRS has a lien on it and has given notice to the retirement plan. Ms. Campbell has given good advice.

Kevin Matthew Sayed

Kevin Matthew Sayed

Tax Lawyer - Greenville, NC
Answered

If you have a payment plan in place the IRS normally releases other levies/claims/garnishments once you enter into the payment plan. As long as you continue to pay the IRS typically would not try to go after your assets. Key, ***make your payments under the plan and do not default. If so, likely smooth sailing for you.

This answer is based on general legal principles only and is not intended to provide specific legal advice. This... more

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