If you don't respond to the Colorado Notice of Intent to Issue Garnishment within 30 days, the Department of Revenue can legally seize your wages, bank accounts or property. They will take all of your bank account and usually 25% of your wages.
Once Colorado garnishes your wages they will not release it until the debt is paid or compromised. Usually the State requires you to "waive" the statute of limitations for collections so they can collect indefinitely.
So, the proper way to respond is to complete the Form DR6596 and then go online to establish an account.
Once you've established an account with Colorado Revenue Online you can sign up to make payments. But, be advised, if you don't hurry you may be told that the time period for establishing a payment agreement has expired. If that happens, you'll have to complete the Form DR6596 and then deal directly with the collectors at the Colorado Offices.
You need to send at least 2 pay stubs with the Form DR6596 and proof of all the living expenses you list against your income. Please follow the Prep Steps for more detail and contact our office for a specific Action Plan for your individual needs.
