Running a business in Maryland is stressful enough without the IRS threatening to seize your assets. If you’ve received letters about overdue taxes, you may be wondering: Can the IRS really take your business assets? The short answer is yes—but you have options to protect yourself. Understanding how IRS business asset seizure in Maryland works is critical for keeping your company safe.
When Does the IRS Seize Business Assets?
The IRS typically considers asset seizure a last resort. Before it gets to that stage, they will send multiple notices, demand letters, and possibly file a federal tax lien against your property. Learn more about the difference between IRS liens and levies in Maryland. If taxes remain unpaid, the IRS can move to levy business assets, including:
- Equipment and machinery
- Vehicles registered under the business
- Inventory and accounts receivable
- Bank accounts tied to the business
This process is aggressive and disruptive, especially for Maryland business owners who rely on these assets to operate daily.
Why Maryland Business Owners Should Take IRS Notices Seriously
Every notice from the IRS is a warning sign. Ignoring letters like a CP501 or CP503 notice can quickly escalate to liens or levies. Once your business assets are on the line, the IRS can act without further negotiation. (They may even target your personal property, including your home)That’s why addressing problems early with a structured IRS tax resolution plan is essential.
Options to Prevent IRS Business Asset Seizure in Maryland
1. Set Up an IRS Payment Plan
If your business cash flow allows, an IRS payment plan in Baltimore and across Maryland may prevent seizures. You can stop enforcement actions by arranging monthly payments while gradually reducing the debt.
2. Apply for an Offer in Compromise
Businesses that can’t pay in full may qualify for an Offer in Compromise (OIC), where the IRS settles for less than the total owed. While approval can be strict, a strong case may save your business from losing critical assets.
3. Request a Collection Due Process Hearing
When the IRS sends a Final Notice of Intent to Levy, you’re entitled to ask for an appeals hearing. This step allows you to push back against the levy and suggest other ways to resolve your tax debt before your assets are at risk.
4. Work With a Tax Resolution Professional
Handling IRS enforcement alone is risky. A Maryland tax resolution expert can negotiate directly with the IRS, help you prepare financial documents, and pursue the best resolution strategy.
How Tax Defense Experts Help Maryland Businesses
At Tax Defense Experts in Baltimore, our focus is on protecting Maryland business owners from damaging IRS collection actions. We help you:
- Create affordable IRS payment plans that keep your operations running
- Build strong Offer in Compromise proposals to reduce what you owe
- Represent you in IRS appeals hearings to defend your rights
- Safeguard your business assets against seizures and levies
If the IRS threatens your company, act now. Schedule your free 45-minute consultation today to discover how we can protect your business and secure your future.
Key Takeaway
The IRS does have the power to seize business assets, but Maryland business owners have powerful defenses available. The sooner you act, the more options you’ll have to keep your company safe.