Legal Question in Consumer Law in Wisconsin
I owe a debt to a company that has a judgement against me. This company somehow has gotten a tax levy against me. I have never heard of this happening with a consumer transaction. How did this happen and how do I fight it? I am in a situation where my family is on state assistance, medical assistance and food stamps.
1 Answer from Attorneys
Unless this company's debt is government guaranteed (as with student loans), I doubt that they could really obtain a tax levy. Tax levies are usually seizures of financial accounts by taxing authorities for past due taxes which are similar to garnishments, allowing them to seize the account. What is possible is for a private collector to use their judgment to accomplish the same thing by garnisheeing financial accounts or seizing nonexempt assets. I am therefore guessing that is what has occurred here, or that the levy which you are referring to is simply a reflection of the normal lien which is granted as a part of any docketed legal judgment. If you have problems like this, you owe it to yourself to consult with a bankruptcy lawyer, who may also have suggestions for you short of actual bankruptcy. Bankruptcies will end such collection efforts for any dischargeable debt. Unfortunately, student loans are not generally dischargeable , absent "extreme hardship," if that is what you are struggling with here. My comments here are not legal advice, nor do they create an attorney client relationship between us; rather they are only for public educational purposes on this website. You are, however, always welcome to contact my office in Racine to discuss any additional questions which you may have or to set up a free consultation.
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