If you have a business tax debt, the IRS can place a levy on your bank accounts which includes your Accounts Receivable. This means they will make a claim on any payments made to you to divert directly to them instead. The IRS will send letters to your customers and clients, instructing them to remit their payments to them directly instead of your business, which impacts your income and your reputation, both personally and as a company. This can also affect your business after the levy is lifted, as your customers may continue paying the IRS because they may not have been informed of the updated status.

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