8. Have your property seized
Do you know what the difference between a lien and a levy is? No? Well, we’ve got your back! While a lien is actually a CLAIM to your property, a levy is literally the process of taking your property in order to satisfy a tax debt.
If you check IRS Publication 594 (again), you will see that the agency is entitled to sell your belongings, such as car and house, so it can take its money. In case you’re suffering from ‘economic hardship,’ Uncle Sam may be reasonable. If not, after selling your assets, the agency will contact you in case there’s any money left after paying off the debt.
