
Yes, you can reverse an IRS bank levy – but it's hard. Typically, once the levy has hit your account and the funds are frozen, the IRS will only reverse the levy in cases of error, severe financial hardship, or if they believe doing so will help them collect the tax more effectively. The best option is to respond to the IRS proactively before they send a levy notice to your bank – but if it's too late for that, reach out to a tax pro to talk about reversing the levy.