NORTH CAROLINA WAGE GARNISHMENTS
Under North Carolina law, an employer may be ordered to withhold wages from an employee and pay them to a creditor for the following types of debts: taxes, student loans, child support, alimony, overpayment of unemployment benefits, and payment of ambulance services in certain North Carolina counties.
If you have a past due balance, the North Carolina Department of Revenue may
1. Attach and garnish your bank account to pay taxes due. Delinquent balances may include taxes, penalties, fees and interest.
2. Garnish 100% of any payments received as a result of the contract as well as any commissions. Delinquent balances may include taxes, penalties, fees and interest.
3. attach and garnish the wages owed to you by an employer. Delinquent balances may include taxes, penalties, fees and interest.
HOW MUCH WILL THE GARNISHMENT BE FOR?
Wage attachments and garnishments are 10% of a taxpayer’s gross income until the tax liability has been settled. Non-wage, contract and bank attachments and garnishments are issued at 100% of the liability due until the tax liability has been settled?
HOW CAN A GARNISHMENT BE RELEASED?
A Garnishment can be released several ways:
1. The garnishment was issued an error ;
2. You file an amended return showing the correct amount of liability and that amount has already been satisfied. You have a three year statute of limitations to file an amended return from that tax year. If you do not file a return, NCDOR will file one for you;
3. You file for bankruptcy. When you file for bankruptcy, something called the automatic stay comes into place and stops the state from collecting on taxes owed, until a determination can be made as to whether the liability is dischargeable.
4. You enter into an offer and compromise to pay the tax debt, for an agreed upon amount less than what you owe.
5. The liability has been satisfied in full.
WHAT SHOULD I DO IF I AM BEING GARNISHED?
Contact a licensed tax professional either a CPA or Tax Attorney. They can often times have the garnishment released and assist you with one of the options provided above, which will save you both time and money. If you contact someone on the early on-set of the notice stage before the garnishment is in place, a Tax Attorney can often prevent the garnishment from being issued by North Carolina Department of Revenue. Maxwell Law Firm, represents clients all over the United States on IRS and North Carolina Tax related issues: Wage Garnishments, Tax Liens, Tax Collection Defense, Offers in Compromise, filing for bankruptcy, Installment Agreements, and Income Tax Services. We are North Carolina Licensed Law Firm. You can schedule your appointment by calling 704-461-1883 or save 25% off the fees by booking your appointment online. TELEPHONE CONSULTATIONS ARE AVAILABLE IF YOU ARE NOT ABLE TO COME TO EITHER OF OUR OFFICES.Home | Page 1|2|3|4|5|6|7|8|9|10|11|12|13|14|15|16|17|18|20|21|22 |23|24|25|26|27|28|29|30|31|32|33|34|35|36|37|38|39|40|41|42| 43| 44| 45| . . . |