IRS Levies and Garnishment Rules

Answered by:

Question:

Is an IRS Levy considered a Garnishment by the United States, or is a Writ of Garnishment by the United States simply when the US is the creditor? In other words, do IRS levies fall under the new rule?

Answer:

Answer by Linda Westfall: An IRS Levy is not considered a garnishment. It does not fall under the new rules. There are IRS regulations that govern the handling of IRS levies.

Answer:

Answer by John Burnett: IRS levies are not issued by a court or a state child support enforcement agency. That eliminates them from coverage under 31 CFR Part 212, the new Garnishment regulation.

First published on BankersOnline.com 5/16/11