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APA Asks IRS to Verify Employment for Tax Levies

BY: Alice P. Jacobsohn, Esq. | 10/25/22

The APA requested that the IRS improve the process by which it verifies employment prior to sending new Forms 668-W, Notice of Levy on Wages, Salary, and Other Income, to employers.

Historically, payroll professionals have received notices of tax levies for individuals who do not have an employment relationship with their employers. Today, as more employees change jobs, the need to verify employment prior to issuing Forms 668-W has become even more important.

Form 668-W is a comprehensive, 10-plus-page notice that is both costly and time-consuming for the IRS to create and deliver to employers. When an individual either no longer or has never worked for the named employer, the burden on the IRS and employer is hard to justify. The APA believes the burden to verify employment will outweigh the cost of potentially inaccurate tax levy notices.

A simple process to identify the employment status of an employee will serve to help get Forms 668-W to appropriate employers. This is important because of the limited time allowed for individuals to contact the IRS to appeal the levy notice and for employers to process the levy into their payroll systems.

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Alice P. Jacobsohn, Esq., is Director of Government Relations for the APA.