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Levy: Seizure of Property (Part VI)

Topic: Levy: Seizure of Property (Part VI)

Information on Seized Property:

A. How to recover seized (“levied”) property that has been sold…

To recover your real estate, you (and anyone with interest in the property) may recoup it within 180 days of the sale by paying the purchaser what they paid, plus interest at 20% annually, compounded daily.

B. If your property has been seized (“levied”) to collect tax owed by someone else…

You may appeal the seizure under the Collection Appeals Program or file a claim under Internal Revenue Code section 6343(b), generally within 2 years of the seizure, or you may file a suit under Internal Revenue Code section 7426 for the return of the wrongfully seized property, generally within 2 years of the seizure.

You may also appeal the denial of the request to return the wrongfully seized property under the Collection Appeals Program. For more information, see Publication 4528, Making an Administrative Wrongful Levy Claim under Internal Revenue Code section 6343(b).

(IRS Publication 594 and IRS.gov) (TTT 08/04/2020)