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IRS Liens

tax lien

You Must Pay Your IRS Debts Yearly

It is important to file tax returns every year and if a debt is owed, to pay it in a timely manner. If the debt cannot be paid in full right away, then an installment plan should be set up, allowing for smaller payments over time. Taxpayers and organizations who have unpaid taxes, risk having a lien placed on their property (real estate or other property).

What is a Tax Lien?

First, let’s define a lien. A lien is a document filed by the IRS that lays claim to property in order to recoup funds owed the government. A tax lien is a matter of public record and shows up on credit reports. Liens and levies are not the same thing. A levy is the act of the government acting on their claim or lien and seizing the property.

Avoiding Tax Liens

If the IRS has placed a lien on a home or other property (including personal items) you own, that lien must be satisfied before you can refinance or sell the property/home. If you do wish to sell, any equity accr