NO LAWS PREVENT IRS LEVY ON SPOUSE.Never underestimate the power of an IRS An abbreviation for the Internal Revenue Service, a federal agency charged with the responsibility of administering and enforcing internal revenue laws. levy... A recent Ninth Circuit decision holds that neither the federal law's anti-alienation provisions nor California's community property laws prevent the IRS from levying on a wife's community interest in her husband's pension benefits. (McIntyre v. U.S., (CA9, 7/13/2000) 86 AFTR AFTR American Federal Tax Reports (Prentice-Hall) AFTR Americans For Tax Reform AFTR Air Force Training Ribbon AFTR Air Force Training Record AFTR atrophy, fasciculation, tremor, rigidity AFTR Atomic Frequency Time Reference 2d Para para (par´ah) a woman who has produced one or more viable offspring, regardless of whether the child or children were living at birth. . 2000-5087.) In this case not only could the IRS reach the pension plan, but they were able to reach the spouse's community property interest in the pension plan. While regular creditors will normally be unable to reach pension plan assets, the IRS is not a regular creditor An individual to whom an obligation is owed because he or she has given something of value in exchange. One who may legally demand and receive money, either through the fulfillment of a contract or due to injury sustained as a result of another's Negligence . You should note, however, that due to a recent law change, there will be no 10 percent too-early (before age 59 1/2) penalty under Code Sec. 72 (t) when the distribution is due to an IRS levy under Code Sec. 6331. |
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