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What is the difference between an IRS tax lien and an IRS tax levy? Sure, the difference between an IRS tax lien and an IRS tax levy lies in their nature and impact on the taxpayer: IRS Tax Lien: A tax lien is a legal claim against your property and assets when you fail to pay your tax debt. It's like a public notice to creditors that the government has a right to your property over other creditors. This doesn't immediately take your assets but affects your credit score and ability to sell or use your assets as collateral for loans. It's essentially a warning step that secures the government's interest in your assets. IRS Tax Levy: A tax levy, on the other hand, is the actual seizure of your property to satisfy the tax debt. This can include garnishing your wages, taking money from your bank accounts, seizing and selling your vehicles, real estate, and other personal property. A levy is more severe and direct action than a lien, as it results in the loss of your property or assets. In summary, a lien is a claim against your assets as security for the tax debt, while a levy is the actual taking of those assets to pay off the debt. #taxlien #taxlevy #knowthedifference...