- You pay the tax, penalty, and interest you owe.
- They discover that the time for collection (the statute of limitations) ended before the levy was served.
- You provide documentation proving that releasing the levy will help them collect the tax.
- You have an installment agreement, or enter into one, unless the agreement says the levy does not have to be released.
- They determine that the levy is creating a significant economic hardship for you.
- The fair market value of the property exceeds such liabiilty and release of the levy on a part of such property could be made without hindering the collection of such liability.
Before the sale date, they may release the property if:
- You pay the amount of the government’s interest in the property,
- You enter into an escrow arrangement,
- You furnish an acceptable bond,
- You make an acceptable agreement for paying the tax, or
- The expense of selling your property would be greater than the fair market value of the property.Returning levied property
They can consider returning levied property if:
- They levy before they send you the two required notices, or before your time for responding to them has passed (10 days for the Notice and Demand; 30 days for the Notice of Intent to Levy and the Notice of Right to a Hearing).
- They did not follow their own procedures.
- They agree to let you pay in installments, but they still levy, and the agreement does not say that they can do so.
- Returning the property will help you pay your taxes.
- Returning the property is in your and the government’s best interest