IRS Letter 668W
Notice of Levy on Wages, Salary, and Other Income
Your employer has already received this levy. Your next paycheck will be garnished.
Deadline
Immediate — the levy is already in effect
Letter 668W is served on your employer, not just you. The garnishment begins with your next paycheck and continues until the full balance is paid or the levy is released.
Act within days — enforcement is imminent or already in progress.
What IRS Letter 668W Means
Letter 668W is a continuous wage levy — the most disruptive IRS collection action for employees. Unlike a bank levy that seizes a single snapshot of funds, a wage levy is served on your employer and takes a portion of every paycheck on an ongoing basis until the full tax debt is satisfied.
By the time you receive your copy of Letter 668W, your employer has already received the IRS's copy. The garnishment will begin immediately with your next scheduled paycheck. The IRS leaves only a small exempt amount — based on your filing status and number of dependents — and takes everything else.
The only ways to stop a wage levy are: (1) paying the balance in full, (2) negotiating an installment agreement or other resolution, (3) obtaining a release through a CDP hearing (if one was not already held), or (4) demonstrating financial hardship. Time is critical because each paycheck that passes means more money taken.
What the IRS Can Do If You Don't Respond
- Garnish the vast majority of each paycheck continuously
- Leave only the statutory exempt amount (typically a few hundred dollars per pay period)
- Continue the levy until the full balance plus interest and penalties is paid
- Simultaneously pursue bank levies and other assets
- Notify your employer in writing — this is humiliating and can affect employment
What You Should Do Right Now
- 1
Contact a tax professional today — every paycheck you wait costs you money
- 2
The fastest path to stopping the levy is entering an installment agreement or paying in full
- 3
If the CDP window has not expired, file Form 12153 immediately
- 4
Provide your employer with a Form 668-W(ICS) Part 5 to claim your exempt amount — do not let your employer withhold more than legally required
- 5
Evaluate Offer in Compromise if the total debt is unmanageable
- 6
Request Currently Not Collectible status if a levy would prevent you from meeting basic living expenses
Resolution Options Available to You
Stop the wage levy as quickly as possible through negotiation or resolution
An approved payment plan typically results in levy release
Settle the debt for less if you qualify — levy must be released while OIC is pending
Levy must be released if CNC status is approved
If CDP rights were not exercised, an equivalent hearing may still help
Frequently Asked Questions About IRS Letter 668W
How much of my paycheck can the IRS take?
The IRS can take most of it. The exempt amount is based on your filing status and dependents — typically a few hundred dollars per biweekly pay period. The rest goes to the IRS until the debt is paid.
Will my employer find out about my IRS debt?
Yes. Letter 668W is served directly on your employer, who is legally required to comply. Your employer will know you have an IRS tax debt, though they are generally not allowed to discriminate or terminate you because of it.
How fast can the wage levy be stopped?
Once an installment agreement or other resolution is approved by the IRS, a levy release (Letter 668D) is typically issued within a few days. A tax professional can often get an agreement in place within a week or two.
What if my employer receives 668W but I dispute the debt?
Your employer must comply with the levy regardless of your dispute. The way to challenge the debt is through a CDP hearing, the IRS appeals process, or Tax Court — but the levy continues while those proceedings are ongoing unless you obtain a specific suspension.
Professional References
IRC: IRC §6331 — Levy; IRC §6334 — Property Exempt from Levy; IRC §6343 — Authority to Release Levy
IRM: IRM 5.11.2 — Levy on Wages and Salary
Got IRS Letter 668W? Let's Resolve It.
ebotCPA represents taxpayers in Irving, Dallas, Fort Worth, and across Texas. Free consultation — no obligation.