You probably have heard horror stories about business owners whose livelihoods were destroyed by IRS seizures. However, few people have reason to worry about this prospect. The Bronson Law Firm PC has been serving the Plano, TX, area since 1978, providing effective tax advice and audit representation. They will explain why you shouldn’t be overly concerned about the possibility of the IRS seizing your business.
3 Reasons Not to Worry About an IRS Seizure Closing Your Business
1. The IRS Can Take Only Property With Equity
The IRS can’t just clean out your business; only property with equity can be seized. This means if you have a bank loan on a big-ticket item and the value of that item is about equal to the amount of the loan, it has no equity. Thus, the IRS can’t take it from you.
2. The IRS Might Be Barred From Seizing Business Assets
One aspect of the Internal Revenue Code safeguards up to $4,560 in business assets. This is welcome news for smaller companies, especially those with minimal office equipment and furnishings. On the rare chance the IRS would target your business for seizure, this rule could legally stop them from doing so.
3. You Can’t Be the Subject of an IRS Seizure Without a Court Order
The Fourth Amendment protects us from unwarranted search and seizure by law enforcement, including IRS officials. They cannot enter your business without a court-ordered warrant unless you give them permission to enter. As the legal process of obtaining a warrant plays out, this could buy valuable time for you to make decisions about the future of your business.
It’s difficult for the IRS to seize your business. As long as you stay in line with tax regulations and pay your debts on time, you shouldn’t encounter trouble. If you are having issues with the IRS, trust The Bronson Law Firm PC to help. Call (972) 770-2660 or contact them on their website to schedule a consultation. Follow them on Twitter to receive tips and news from the law firm.