Can an IRS Levy Be Released for a Hardship?

The federal tax levy is issued by IRS to enforce tax collection. But certain circumstances (outlined under IRM section 5.11) authorize for the Release of Levy. One of those circumstances is Economic Hardship.
Under IRS Tax Code §6343, a federal tax levy must be released when IRS determines the levy creates an economic hardship.

So What Are the General Rules?
IRS procedure says a levy should never prevent someone from being able to pay her reasonable, necessary living expenses. That described inability is the very definition of economic hardship.
Just mentioned above, the “reasonable amount” for basic living expenses must be determined by the Internal Revenue Service. Therefore, any release of levy due to economic hardship requires some financial analysis. IRS must receive adequate financial information to confirm the levy is preventing the taxpayer to be able to meet her necessary living expenses.
This reasonable amount varies, according to the unique circumstances of that individual taxpayer. However, those unique circumstances do not typically include someone’s ability to maintain an affluent or luxurious lifestyle. However, each person’s circumstance must be independently considered.
To qualify for a release of levy for economic hardship, the taxpayer must also act in good faith. Generally, this means providing IRS accurate information when requested.