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Hello again JA Customer,
They would not typically file a lien on a car because the values are normally too low for them to worry about.
If you do not own a home or other real estate, then the other types of levies they would pursue would be a garnishment on your wages for anyone you work for during the 10 year period of time they have to collect the taxes that are due. If you are self employed, they can demand a list of your customers and require that your customers send any payments directly to the IRS rather than to you. They can also place levies on any bank accounts that you have. If you receive any type of benefits such as pension or SS benefits, those benefits can also be levied.
Thank you JA Customer
The IRS can send a levy to your bank, much the same as they could send a notice of garnishment to your employer. Once they do that, the bank is obligated to freeze all the funds that are in your account and send those funds to the IRS. Any future deposits you continue to make to that account would also be frozen and sent to the IRS.
There is no set time frame as to if or when this may happen. And you would not be sent a notice ahead of time that this is what they intended to do. If the IRS decides to place a levy on your bank account, they would simply send a notice to the bank and you would also receive a copy. But by that time it would be too late to stop the levy. The bank is obligated to freeze the account.
As far as whether or not you can continue to have a bank account, that is entirely up to you. You just have to understand the risks involved. Any bank account that you have can be subject to this type of levy.
They have no particular order in which they place liens or levies, so it would be impossible to tell you which of these may occur first.
In most cases, the bank account would be the first thing they would place a levy on, because any cash in your bank account would be readily available to them. They are also most likely to garnish your wages before looking for other assets that you own.