HERE IS ANOTHER EXAMPLE OF WHAT THE IRS DOES IN REGARD TO LEVIES
Requests for Account
Balance
When the IRS has served a levy or is about to serve a levy, the IRS may make
immediate demand for information about the balance in accounts maintained by the taxpayer. The 21-day waiting period
does not apply to such requests and the information should be provided to the duly authorized and credentialed IRS employee
as soon as possible. (IRC Section 6333)
Research
The
IRS has observed that some depositaries have overlooked easily identifiable accounts. The instructions on Form 668-A,
Notice of Levy, require the recipient to:
Make a reasonable effort to
identify all property and rights to property belonging to this person. At a minimum, search your records using the taxpayer’s
name, address, and identifying number(s) shown on this form.
The instructions
do not require a perfect match of all information. In some cases, it may be reasonable to identify an account based
on a single matching identifier. In other cases, it may be appropriate to corroborate one matching identifier by matching
one or more additional identifiers.
Examples:
1. A
levy is served against:
Ziegfried A. Baderhoffer (fictitious name)
d/b/a Courtesy Motors
123 First St., Anywhere, US 11111
EIN: 10-1234567
The depositary has an account under:
Ziegfried A. Baderhoffer
d/b/a Ziggy’s Pizza
456 B Ave., Anywhere, US 11111
EIN: 11-4567890
Reasonable Determination: The unusual name alone is sufficient for a match.
If there is a question such as whether the name is a “junior” or a “senior” or whether the lack of
any middle initial makes a difference, the depositary should call the contact number on the levy for guidance.
