irs levied my bank account can i file chapter 13?

[messedup]

hi everybody im new here so bare wit me.anyways i went to the atm today then i saw my money was all gone 7,000. i owe the irs 18,000 from a 2003 back tax that was originally 10,000.i called the irs acs dept and the lady there said they cant do anything and that bk would not eliminate those taxes. and that they want to set up a installment agreement at 375 for 5 years and keep the money they took.can chapter 13 help me here cause time is critical here i have less than 19 days before the bank freeze goes to the irs?plus me and my wife got our first mortgage modified but i have a second mortgage that needs to be stipped or settled,credit cards,medical bills ect.

[HHM]

Well, your screen name is apt. lol

A chapter 13 will not, generally, allow you to claw back that money. You need to immediately get in touch with the Tax Payer Advocate (go to www.irs.gov and search), and claim a hardship, that is about the best shot you have. In the big picture, a chapter 13 might help in pay back the tax, after all, interest and penalties stop accruing once you file the chapter 13.

[messedup]

dam irs i filed a collection due process hearing too within the 30 day final intent to levy notice and they still levied my account. can they do this i mean i thought all collections are stopped while waiting for a cdp? the irs lady said we dont have no record of it,i told her i have the green registered return card with signiture here.she said i probably sent the wrong paper. oh well guess i better file 911 with the taxpayer advocate then thanks.

[HHM]

So, basically, you have 2 arguments.

1. You filed a CDP (Collection Due Process) and therefore levy action should not have gone forward. Note, a CDP only covers the periods that were listed on the Final Notice of Intent to Levy. (ltr 1058). If the 1058 notice only covered 2005, the IRS could still levy for 2006.

2. General hardship.

[AngelinaCatHub]

I owed 27K, and I got a letter of intent to levy my Social Security. I simply set up a payment plan. The bk stopped the payment during the stay and I had to set up the payment plan again after discharge. The assets I had went all to IRS, as the only real preferential creditor, so that worked out well. I'll be paying them $400 a month forever. 'Hub

[jwmc1]

Dude, the IRS can and do whatever it wants.

[messedup]

so if i enter into a installment agreement they will release the levy or just partial? i mite as well let them have the money then since its just a 1 time levy. i think the installment agreement will reset the 10 year statue of limitation over again right?