If you owe back taxes, the IRS and state agencies gain a tax lien on all your assets after meeting certain statutory requirements. The tax lien attaches to all property and the taxpayer’s rights to real, personal, tangible or intangible property. Once the IRS or a state tax agency has a tax lien on all of a taxpayer’s assets, they may enforce that tax lien by administratively levying his or her assets. A tax lien is filed by the IRS or state tax agency to protect government’s interests in the tax due. The tax lien may be recorded with one or several county recorders that serves to give notice that the taxpayer owe back taxes. Accordingly, a tax lien is generally devastating to the taxpayer’s credit and ability to borrow, lease, or refinance.
Although it is not easy to convince the IRS or a state tax agency to withdraw or release a tax lien, our attorneys have done so on numerous occasions. Our in-depth knowledge of federal and state tax procedures helps us to ensure that all of the administrative requirements for lien filing were met. We often advocate that releasing or withdrawing the lien is in the best interests of the government and that it would facilitate the payment of the tax due. In appropriate circumstances, we can negotiate for a subordination of the tax lien. Furthermore, if you engage us in the early stages of the tax controversy, we may be able to prevent filing of tax liens through negotiations with the IRS and state tax agencies