State rules and regulations for a state wage garnishment differ from state to state. The garnishment letter will provide taxpayers’ employers with a formula for calculating the amount to withhold payment of a delinquent balance.
Generally, the state wage garnishment could be up to twenty-five percent of each paycheck. In some states, the court can withhold up to fifty percent from each paycheck for child support arrears and up to 60 % arrears if taxpayers are not supporting another dependent!
The state wage garnishment letter will tell your employer how much of a delinquent balance you owe. Your employer will continue to garnish wages from each paycheck until that delinquent amount has been paid in full.
Self-employed taxpayers will have a state wage garnishment letter sent from the state’s behalf to each customer/Accounts Receivable. The letter will order each client in taxpayers’ Accounts Receivable to pay to the state. In some cases, payments may go up to one hundred percent to the state.
Rules and regulations for a state wage garnishment differ from state to state. The state wage garnishment letter will provide taxpayers’ employers with a formula for calculating the amount to withhold payment of a delinquent balance.
Generally, state wage garnishments could be up to twenty-five percent of each paycheck. In some states, the court can withhold up to fifty percent from each paycheck for child support arrears and up to 60 % arrears if taxpayers are not supporting another dependent!
Delinquent balances include taxes, penalties, fees, and interest, any non-tax liabilities owed to other state government agencies and courts, such as Worker’s Compensation Insurance Premiums and Court Ordered Child Support.
Social Security and other legally mandated monies, such as disability, cannot be garnished by a state.
State tax wage garnishments take precedence over all other wage garnishments or levies. The only exceptions are court-ordered child support payments and federal tax liability. The IRS can also issue a wage garnishment letter to collect delinquent federal tax balances.
enerally, most states will not agree to stop a wage garnishment with a state installment agreement. However, most states will agree to lower the amount of the wage garnishment or modify it if a taxpayer can show hardship.
Coast One Tax Group can reduce the amount of a state wage garnishment if a taxpayer can show that they are in hardship. Our team can stop a state wage garnishment if a taxpayer’s state provides an Offer in Compromise to the state tax liability indicating that they qualify.
Coast One Tax Group is skilled in successfully navigating individuals through state wage garnishments. Our team consists of experienced attorneys, accountants, and Enrolled Agents representing taxpayers before state and federal taxing authorities.
Our team will negotiate a resolution to your garnishment. Our goal is to resolve taxpayers’ state wage garnishment issues as quickly as possible.
Call us today at 18002073405 or schedule a free consultation with our tax experts to get started.