Can the IRS and FTB Both Garnish Your Wages in California?
If you’ve fallen behind on your federal and California state taxes, you may be at risk of wage garnishment — possibly from both the IRS and the Franchise Tax Board (FTB).
Yes, that’s right:
⚠️ You can be garnished by both agencies simultaneously — and the results can be financially devastating.
This post breaks down:
- Whether dual garnishments are legal
- How much each agency can take
- What to do if you’re already being garnished
- How to stop both agencies from draining your paycheck
Can Both the IRS and FTB Garnish Your Wages?
Yes. Each agency operates independently.
There is no coordination or limit that prevents both from initiating garnishment at the same time.
If you owe the IRS and the FTB:
- The IRS can garnish up to
25–70% of your paycheck, depending on your filing status and exemptions
- The FTB can garnish
25% of your disposable wages after tax
In some cases, this can leave you with less than 50% of your net income.
How Wage Garnishment Works (IRS vs FTB)
| Feature | IRS | FTB |
|---|---|---|
| Max % of Wages | Based on tables (can exceed 25%) | 25% of disposable income |
| Notice Required | Final Notice of Intent to Levy | Earnings Withholding Order |
| Time to Garnishment | ~45 days after final notice | ~10–15 days after issuance |
| Stop Garnishment With | Offer in Compromise, CNC, payment plan | Payment plan, hardship, OIC |
| Levy Exemptions | Based on filing status and dependents | Based on net pay |
What Happens If You're Garnished by Both?
Let’s say:
- You owe
$30,000 to the IRS
- You owe $12,000 to the FTB
- You earn $5,000 per month after taxes
- The IRS may garnish
$1,200+ depending on dependents
- The FTB may take
$1,250 (25%) on top of that
That could leave you with just over $2,500/month to live on — possibly less.
What You Can Do to Stop It
1. Identify Which Agency Is Garnishing You Now
- Review your paystub
for the source of the withholding
- Look for letters with “Earnings Withholding Order” (FTB) or “Notice of Levy” (IRS)
2. Call Both Agencies Immediately
Ask to:
- Request a levy/garnishment release
- Submit financial disclosure
- Negotiate a payment plan or Offer in Compromise
3. File a Hardship Request
If garnishment leaves you unable to pay rent, buy food, or meet basic needs, you may qualify for:
- Currently Not Collectible (IRS)
- Hardship relief or partial pay plan (FTB)
Can You File One Resolution for Both?
No — you must resolve IRS and FTB debts separately:
- IRS: Submit
Form 433-A or
Offer in Compromise
- FTB: Use California financial disclosure forms or OIC packet
Why Work With a California CPA
At Boulanger CPA, we help clients:
- Stop IRS
and FTB garnishments fast
- File dual-agency settlement requests
- Negotiate reduced payment plans or Offers in Compromise
- Protect income and assets
📞 Call 657-218-5700 or Schedule a Consultation
Frequently Asked Questions
Can the IRS and FTB garnish my wages at the same time?
Yes. Each agency operates independently and may garnish wages simultaneously if you owe both federal and state taxes.
How much of my paycheck can they take together?
The IRS and FTB combined can take over 50% of your disposable wages in some cases, depending on your financial situation and dependents.
What if I can't afford basic living expenses?
You may qualify for hardship status or Currently Not Collectible classification, which can stop or reduce garnishment amounts.
Can I settle both debts at once?
No. You must file a separate Offer in Compromise or resolution plan with each agency, even if you owe both.
Can a CPA stop both garnishments?
Yes. A CPA can contact both agencies, submit financials, and request immediate garnishment release while negotiating long-term resolution.
📣 About the Author
Marc Boulanger, CPA is the founder of Boulanger CPA and Consulting PC, a boutique tax resolution firm based in Orange County, California and trusted by high-income individuals and business owners across Southern California.
He is the author of Defend What’s Yours: A California Taxpayer’s Guide to Beating the IRS and FTB at Their Own Game, available now on Amazon. The book offers a step-by-step plan for resolving IRS and FTB tax debt without losing your business, your home, or your peace of mind.
With over a decade of experience resolving high-stakes IRS and State tax matters, Marc brings strategic insight to complex cases involving wage garnishments, bank levies, unfiled returns, and six-figure tax debts. He is known for helping clients reduce or eliminate tax liabilities through expertly negotiated settlements and compliance plans.
Marc is a Certified Public Accountant licensed in California and Oklahoma and holds the designation of Certified Tax Representation Consultant. He is a member of the American Society of Tax Problem Solvers (ASTPS) — the national organization founded by the educators and practitioners who have trained thousands of CPAs, EAs, and tax attorneys in IRS representation strategy.
Every case is handled with discretion, proven methodology, and direct CPA-led representation — not call center scripts.
📍 Learn more at www.orangecounty.cpa or call (657) 218-5700.
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