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My mother always told me that “a hard head makes for a soft behind.” Never was that saying more true that the lesson that I learned from the IRS! This horrific event occurred 5 years ago and I will never allow my “hard head” to lead me down that path again.
My husband and I were both making decent incomes but were a tad lazy when it came to keeping accurate financial records. A number of times I’d claimed the incorrect number of allowances for my federal taxes. However, I assumed that there would always be time to rectify the situation. This could not have been further from the truth. My first incorrect assumption was that the IRS wasn’t as “ruthless” as I’d heard. After all, I wasn’t some big time entertainer who had gone without paying their taxes for years and now owed millions.
Month after month we received notices from the IRS. The first few were opened, briefly read then cast aside. After a while the letters would just remain unopened. We already knew we owed a few thousand dollars, and with two kids in private school, we didn’t have that lying around.
Being paid every other week, payday was always anticipated. The routine was to wake up on payday, check the bank account and verify that my paycheck had been direct deposited so that bills could be paid. Then one day it happened. I woke up, called the bank, and nearly had a heart attack. There was nothing there…absolutely nothing! I assumed that the bank or even my company had made some grave error so I immediately called customer care at the bank. I eventually spoke to the horrible person that told me the words that I will never forget…”There is a lien on your account”. I remember everything going black and I think I stopped breathing for a few seconds. How could this be?? The grim reaper of an agent explained that the IRS had a hold on our account and that nothing could be withdrawn from it. I remember asking them how we were supposed to survive. Of course they had no solution.
I had to dig through all of that discarded mail that we’d been receiving to find out what happened and how I could rectify the situation. Eventually, I found the information I needed and started calling immediately. After staying on hold for about an hour, I was transferred from department to department. This process started at home on my cell phone. I traveled to work while still holding, began my work day, and took my first coffee break all while still on the phone with the IRS. Never once did I hang up. This took approximately 3 hours but I didn’t care. I was determined to settle the issue any way that I could. It took tears, begging, pleading and faxing any necessary papers and documents to them and a promise to keep to the payment plan that they allowed before I would dare get off the phone. Unfortunately, this was not an immediate fix. Certain documents had to be faxed to the bank by the IRS in order for them to release my funds. I believe this took about a week.
Yes, I still owe some of that money but never again will I ignore anything from the IRS. It is ALL important and worthy of your attention. I still have a payment plan with them that I will have for a long time.
The key to dealing with any fears that you have with the IRS is just to DEAL with them. Face them head on and amazingly, they will work with you to try to keep you out of the nightmarish situation that I was in. The IRS is like that bad little child at school that only needs your attention. Ignore them and they will put a tack in your chair. Ouch!