View Full Version : Why can the IRS take all of my monthly SSDI income ?
booboospider
Jan 26, 2012, 11:07 PM
The SSA sent me a letter stating that they will be sending all of my monthly social security payments to the IRS.
ebaines
Jan 27, 2012, 06:57 AM
The IRS may indeed garnish your SS payments if you owe back taxes. You ask "why" they can do this - it makes sense that someone who has not met their own tax obligations should not enjoy further payments from other tax payers.
booboospider
Jan 28, 2012, 09:12 AM
Can the IRS take 100% of SSDI benefits, and what law gives that authority .
AtlantaTaxExpert
Jan 28, 2012, 10:44 PM
However, if the SSDI is your ONLY source of income, you CAN stop the garnishment action by proving to the IRS it IS your only source of income.
AtlantaTaxExpert
Jan 29, 2012, 12:57 AM
Not sure about the law, but they CAN take your 100% of your SSDI UNLESS you can proof you need the SSDI to survive. You essentially must submit paperwork that shows all of your assets and income sources to proof the need for the SSDI.
booboospider
Jan 29, 2012, 08:37 AM
I have sent replies to the IRS in the form of Notice & Demands by cert Mai to every letter I get from them, over 40 so far. They never reply. I went to a summons meeting and answered all the questions they had, but they did not like any of my answers, even after I signed the document supporting my statement. Then they told their legal department I didn't show up. I did record the meeting, thank God. I have never received any final notice of levy and yes I know they have not sent one. I asked for my master file and after looking that over I see no final notice being sent. For you that judged me and assumed I didn't pay my taxes you are wrong.
In the master file they write that they believe I own a company by the name of Starwood, I don't . I have even asked for a collection due process hearing ,but have not gotten one. Here is my simple question. I see the law that gives them power to take 15 %, but can anyone show me the law the over rides the social security act that list only 5 way the SSI can be taken? Don't IRS agents have to follow the rules or are they free to do what ever they want?
Fr_Chuck
Jan 29, 2012, 08:47 AM
IRS has close to unlimited power at times and they often act first and then you will have to fight them, in hearings they control to fight them.
The issue is first, why do they think you owned this company, obviously they feel you do, and that you are lying and not paying taxes on this property.
Has someone stolen your identity, is someone using your social security number ?
Have you had this investigated, have you filed a police report for stolen ID.
booboospider
Jan 29, 2012, 08:50 AM
They are violating the Social Security Act that clearly states that no! Laws past can overrule it, and list the 5 exceptions that can take benefits. #5 states up to 15% not more.
ScottGem
Jan 29, 2012, 09:55 AM
For you that judged me and assumed I didn't pay my taxes you are wrong.
Please review what you posted. You gave very little information leaving us to have to make assumptions. Please don't criticize us when you left us little choice.
booboospider
Jan 29, 2012, 12:19 PM
I Don't understand what information you need to answer my question. What law(s) gives the IRS the ability to take 100% of a persons SSDI ? Also how can they get around the laws in the SOCIAL SECURITY ACT that say the max that can be taken for past due fed taxes is 15%.
ScottGem
Jan 29, 2012, 01:03 PM
You complained about being judged when you provided minimal info.
I haven't checked the statutes, but does that 15% refer to SSDI or SS retirement or SS Disability? Those are three different programs. In addition, there is a difference between past due taxes owed and tax evasion. From what you have said, it appears the IRS believes you have tried to evade taxes by not reporting income from a company they believe you owned. So they may be able to treat that differently, from back taxes that were unpaid.
AtlantaTaxExpert
Jan 29, 2012, 01:16 PM
They MAY be violating the law, but so what?
When it somes to dealing with the IRS, burden of proof rest with you!
Contact the IRS Tax Advocate and find out what paperwork has to be submitted to stop the garnishment. Until you do, the IRS will continue to take your SSDI.
AtlantaTaxExpert
Jan 29, 2012, 02:22 PM
You NEED to get professional help in dealing with the IRS. May I suggest contacting an enrolled agent who can represent you before the IRS to get these matters cleared up.
It is clear that doing it yourself is NOT working.
JudyKayTee
Jan 29, 2012, 03:38 PM
Funny I was asking a clear question of law and I get one person who judges because I didn't give him all the info. I thought the purpose of this was to ask questions and get answers. I'm done with this since no one can reference any laws or IRC.
"We" cannot give answers without all of the information "we" need. We're supposed to guess that you attended Q&A sessions and that IRS thinks you own a company?
At any rate if the amount you owe is unpaid taxes IRS can take 15%. If it for other reasons it's whatever you owe. Here is the law:
"Unpaid child support or alimony ─ Up to 60 percent of your monthly SSDI benefit can be taken for unpaid child support or alimony. If you have another child or spouse that you also support, no more than 50 percent of your monthly SSDI benefit can be taken. If your support payments are more than 12 weeks late, your monthly benefit may be reduced by another 5 percent unless you prove that this would create a hardship for you.
Non-tax debt owed to a federal agency ─ Non-tax debt includes food stamp overpayments, federally guaranteed student loans and federal mortgage loans. Your monthly SSDI benefit can be reduced up to 15 percent until all of this debt is paid off. The government will not reduce your benefit payment to less than $750 per month. You may be able to stop the government from reducing your benefit if you can prove that it is causing you a hardship.
Unpaid federal taxes ─ Under the Federal Payment Levy Program (FPLP), the IRS can take 15 percent of your monthly SSDI benefits to make up for any unpaid federal taxes. Tax debt is different from non-tax debt in that the first $750 of your monthly benefit is not protected in this case. The IRS takes 15 percent, even if that means you are left with less than $750 per month.
Before the IRS starts reducing your SSDI benefit, it will send you a final notice. Then, you have 30 days to either pay the tax or work out a payment agreement with the IRS. If you don't work out a payment agreement in 30 days, the IRS then will start deducting 15 percent from your monthly SSDI benefit to pay the tax. " Protecting SSDI Benefits from Creditors | Social Security (http://www.allsup.com/personal-finance/financial-planning/protecting-ssdi-benefits-from-creditors.aspx)
Too bad you've left forever because I was going to suggest a letter to your Congressman. Sometimes that works wonders.
Also wondered what State you are in that allows you to record meetings, with or without consent.
EDIT: I've asked that your other threads on this same subject be combined.
booboospider
Jan 29, 2012, 04:42 PM
Nevada, and I had the permission of the agent. They claim I owe back taxes nothing else and I found the same thing you sent. So how is it that they can take100% . I went to the meeting and signed a doc and gave them a Truth Affidavit saying that I have never owned or been part of any company or small business. They say that 6331a gives them theower to over ride the 15% limit, but I see nothing mentioned there. I worked in sales for Starwood Hotels tell 2005. Thenmy body gave out have had a hip replacement 3 back surgeries and 7 other major surgeriesso havenot worked since. I have contacted my Senator & Congressman with little more than we will contact IRS on your behalf. Also have sent of request to taxpayer advicute. I have been using a tax lawyer but money is running out. That why I just wanted to ask the simple question of how they can take 100%. Thanks for trying.
ScottGem
Jan 29, 2012, 04:58 PM
Apparently the IRS has used 6331(a) as carte blanche to recover taxes owed (see IRS Liens and Levies (http://usa-the-republic.com/revenue/levy.html)).
If the IRS issues a levy, it is unlikely that anyone is going to argue the point for fear the IRS will turn the microscope on them.
I agree with Atlanta Tax Expert, you need a professional to advocate for you.