Tax Lien

What is a tax lien?

A tax lien occurs when the government imposes a legal claim to your assets due to non-payment of taxes. Whether you have failed to file your taxes or neglected to pay your tax debt, the IRS will eventually come calling and when they do, your assets are at risk.  

How to deal with a tax lien

The simplest way to deal with a tax lien is to pay the tax debt in full.  Once the payment is received in full, the IRS will release the tax lien with 30 days. For those that cannot pay the total amount owed, the next step would be to hire a trusted tax professional to negotiate a settlement. It is always best to have the Tax Champions team of professionals handle the IRS for you. 

Knowing how a tax lien can affect you

The IRS will file a public notice known as a Notice of Federal Tax Lien against you and once a tax lien has been imposed, all your assets will be frozen until the tax debt is resolved.  A tax lien will effect all of your assets (including your ability to obtain credit):

Personal Assets - This includes real estate holdings, personal property and financial assets.

Business Assets - This includes any business properties and the businesses accounts receivable.

How to avoid a tax lien

Avoiding a tax lien is as simple as filing and paying all your taxes on time and in full. If you are unable to, don't ignore the correspondence letters that you will receive from the IRS. If you are aware that you owe back taxes and can’t pay, there are options and Tax Champions can help. Call us today 800-518-8964.


Walter Wotman, CPA

Founder & Managing Partner

Walter Wotman, CPA is the author of "Tax Champions Guide to Tax Resolution." Amazon #1 Best Seller in the Personal Finance category. He is one of America's most experienced tax negotiators with over 35 years of experience helping thousands of clients settle difficult back tax issues.
Copyright Tax Champions 2017