If you owe the IRS and haven’t paid, the agency can gain legal right to your property by issuing what is called a tax lien. This is not the same as a levy, in which the IRS can actually seize your property, but is rather a way to secure interest in the property and establish that the federal government has the primary claim to it. This way, the IRS ensures that it gets paid before other creditors and lenders.

Getting Rid of Tax Liens

The best way to get rid of a tax lien is to pay the full balance of your tax debt, causing your lien to be discharged in 30 days. But if you can’t pay the full amount, there are other things you can do, like negotiating an installment agreement with the IRS or discharging the property with the lien, which moves the lien from one property to another.

A third option is subordination, which permits other creditors to move ahead of the IRS priority-wise in terms of security interest. This could allow you to refinance or secure a new loan and pay off your tax debt.

Get Help

Dealing with a tax lien can be an overwhelming experience. Schedule a free consultation with one of our tax associates and get your issue resolved.