IRS seized bank account-Does this sound right?

[JGC97]

Originally Posted by RMD3819

The question is is this something the IRS could/would actually do? How did they find out about it?

If the IRS placed a lien on your BIL, there will be a recorded document in the county clerk recorder's office. If your county has a website that allows you to look up documents by name, you can enter your BIL's name and see all documents that have been recorded.

I know this because I was monitoring someone who owed me money and he claimed the IRS was on him for back taxes. I looked it up and, sure enough, the IRS had placed a lien on him. Once the money was paid, they released the lien and that document was also recorded.

The documents recorded do not show bank accounts but if there is a lien filed against him, chances are they did freeze his account. They get their money and don't care if a person is left with nothing.

I'm sorry you had to go through this. It's not fun. But we learn our lessons, don't we? Never lend money to family or friends. In fact, never lend money, period.

[RMD3819]

Update-

I talked with my BIL. He says this stems from his 2001 income tax. It turns out that was the first year he had filed in four years. He hired a tax person (in 2001) to get it straightened out and pay his back taxes, which he says he did. He insists its mixed up in that mess.

He also states he has received nothing in writing from the IRS, and he has paid his taxes since then. He supposedly will be scheduling a hearing with the IRS.

I checked the local clerk filings and found nothing about it, but he just moved here. In 2001 he was living in another state and has moved countless times since then so the trail ends as far as trying to track those records.

Part of me wants to beleive him, part thinks this is part of some elaborate scam. An 80K tax bill from ten years ago? This is the first he's heard of it?

Stay tuned.....