26 USC 6334 - Property exempt from levy

U.S Code last checked for updates: May 14, 2024

§ 6334.

Property exempt from levy

(a)

Enumeration

There shall be exempt from levy—

(1)

Wearing apparel and school books

(2)

Fuel, provisions, furniture, and personal effects

(3)

Books and tools of a trade, business, or profession

(4)

Unemployment benefits

(5)

Undelivered mail

(6)

Certain annuity and pension payments

(7)

Workmen’s compensation

(8)

Judgments for support of minor children

(9)

Minimum exemption for wages, salary, and other income

(10)

Certain service-connected disability payments

Any amount payable to an individual as a service-connected (within the meaning of section 101(16) of title 38, United States Code) disability benefit under—

(A)

subchapter II, III, IV, V, or VI of chapter 11 of such title 38, or

(B)

chapter 13, 21, 23, 31, 32, 34, 35, 37, or 39 of such title 38.

(11)

Certain public assistance payments

Any amount payable to an individual as a recipient of public assistance under—

(A)

title IV or title XVI (relating to supplemental security income for the aged, blind, and disabled) of the Social Security Act, or

(B)

State or local government public assistance or public welfare programs for which eligibility is determined by a needs or income test.

(12)

Assistance under Job Training Partnership Act

(13)

Residences exempt in small deficiency cases and principal residences and certain business assets exempt in absence of certain approval or jeopardy

(A)

Residences in small deficiency cases

If the amount of the levy does not exceed $5,000—

(i)

any real property used as a residence by the taxpayer; or

(ii)

any real property of the taxpayer (other than real property which is rented) used by any other individual as a residence.

(B)

Principal residences and certain business assets

Except to the extent provided in subsection (e)—

(i)

the principal residence of the taxpayer (within the meaning of section 121); and

(ii)

tangible personal property or real property (other than real property which is rented) used in the trade or business of an individual taxpayer.

(b)

Appraisal

(c)

No other property exempt

(d)

Exempt amount of wages, salary, or other income

(1)

Individuals on weekly basis

(2)

Exempt amount

For purposes of paragraph (1), the term “exempt amount” means an amount equal to—

(A)

the sum of—

(i)

the standard deduction, and

(ii)

the aggregate amount of the deductions for personal exemptions allowed the taxpayer under section 151 in the taxable year in which such levy occurs, divided by

(B)

52.

Unless the taxpayer submits to the Secretary a written and properly verified statement specifying the facts necessary to determine the proper amount under subparagraph (A), subparagraph (A) shall be applied as if the taxpayer were a married individual filing a separate return with only 1 personal exemption.

(3)

Individuals on basis other than weekly

(4)

Years when personal exemption amount is zero

(A)

In general

In the case of any taxable year in which the exemption amount under section 151(d) is zero, paragraph (2) shall not apply and for purposes of paragraph (1) the term “exempt amount” means an amount equal to—

(i)

the sum of the amount determined under subparagraph (B) and the standard deduction, divided by

(ii)

52.

(B)

Amount determined

(C)

Inflation adjustment

In the case of any taxable year beginning in a calendar year after 2018, the $4,150 amount in subparagraph (B) shall be increased by an amount equal to—

(i)

such dollar amount, multiplied by

(ii)

the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting “2017” for “2016” in subparagraph (A)(ii) thereof.

If any increase determined under the preceding sentence is not a multiple of $100, such increase shall be rounded to the next lowest multiple of $100.

(D)

Verified statement

(e)

Levy allowed on principal residences and certain business assets in certain circumstances

(1)

Principal residences

(A)

Approval required

(B)

Jurisdiction

(2)

Certain business assets

Property (other than a principal residence) described in subsection (a)(13)(B) shall not be exempt from levy if—

(A)

a district director or assistant district director of the Internal Revenue Service personally approves (in writing) the levy of such property; or

(B)

the Secretary finds that the collection of tax is in jeopardy.

An official may not approve a levy under subparagraph (A) unless the official determines that the taxpayer’s other assets subject to collection are insufficient to pay the amount due, together with expenses of the proceedings.

(f)

Levy allowed on certain specified payments

(g)

Inflation adjustment

(1)

In general

In the case of any calendar year beginning after 1999, each dollar amount referred to in paragraphs (2) and (3) of subsection (a) shall be increased by an amount equal to—

(A)

such dollar amount, multiplied by

(B)

the cost-of-living adjustment determined under section 1(f)(3) for such calendar year, by substituting “calendar year 1998” for “calendar year 2016” in subparagraph (A)(ii) thereof.

(2)

Rounding

(Aug. 16, 1954, ch. 736, 68A Stat. 784; Pub. L. 85–840, title IV, § 406, Aug. 28, 1958, 72 Stat. 1047; Pub. L. 89–44, title VIII, § 812(a), June 21, 1965, 79 Stat. 170; Pub. L. 89–719, title I, § 104(c), Nov. 2, 1966, 80 Stat. 1137; Pub. L. 91–172, title IX, § 945(a), Dec. 30, 1969, 83 Stat. 729; Pub. L. 94–455, title XII, § 1209(a)–(c), title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1709, 1710, 1834; Pub. L. 97–248, title III, § 347(a), Sept. 3, 1982, 96 Stat. 638; Pub. L. 98–369, div. B, title VI, § 2661(o)(5), July 18, 1984, 98 Stat. 1159; Pub. L. 99–514, title XV, § 1565(a), Oct. 22, 1986, 100 Stat. 2763; Pub. L. 100–647, title I, § 1015(o), title VI, § 6236(c), Nov. 10, 1988, 102 Stat. 3572, 3738; Pub. L. 102–83, § 5(c)(2), Aug. 6, 1991, 105 Stat. 406; Pub. L. 104–168, title V, § 502(a)–(c), July 30, 1996, 110 Stat. 1461; Pub. L. 104–193, title I, § 110(l)(3), formerly § 110(l)(6), Aug. 22, 1996, 110 Stat. 2173, renumbered and amended Pub. L. 105–33, title V, § 5514(a)(2), (3), Aug. 5, 1997, 111 Stat. 620; Pub. L. 105–34, title III, § 312(d)(1), title X, § 1025(a), Aug. 5, 1997, 111 Stat. 839, 924; Pub. L. 105–206, title III, §§ 3431(a)–(c), 3445(a), (b), July 22, 1998, 112 Stat. 758, 762, 763; Pub. L. 115–97, title I, §§ 11002(d)(1)(II), 11041(d), Dec. 22, 2017, 131 Stat. 2060, 2084; Pub. L. 115–141, div. U, title IV, § 401(a)(283), Mar. 23, 2018, 132 Stat. 1198.)

cite as: 26 USC 6334