How To Stop A Tax Lien

If you are behind on your taxes, the government might put a tax lien on your property. If you do not address the situation promptly, the government could seize your property next. You could also reduce your creditworthiness and have more difficulty selling your home in the future. However, it is possible to stop a tax lien. Here are a few different ways to remove a tax lien.

Pay Your Overdue Taxes

The most straightforward way to stop a tax lien is to just pay your back taxes. Once you give the government the money you owe them, you will longer have to deal with a lien. You can send the payment directly through your bank account or a third-party processing service.

Request a Payment Plan

If you do not have the money to pay your back taxes, your next option is to ask for a payment plan. This will allow you to pay back your taxes in multiple installments, which is more manageable. You can easily apply for an installment plan on the IRS website.

File an Offer in Compromise

Sometimes people can't afford to pay their back taxes in full. If you are in this situation, you can file an Offer in Compromise, which allows you to pay a portion of your back taxes and still avoid a tax lien. However, keep in mind that the government has strict requirements for accepting these applications. A tax specialist may be able to help you file this document.

File an Appeal

Sometimes IRS employees make mistakes when issuing tax liens. If you do not agree with the tax lien the government placed on your property, you may consider filing an appeal. The Office of Appeals will thoroughly review your case and determine if the tax lien was necessary or not.

Preventing Tax Liens in the Future

Dealing with a tax lien can be very stressful, so you want to do everything you can to avoid liens in the future. Planning ahead may help you do this. For instance, you could consider paying quarterly taxes during the year to make the tax burden less overwhelming. 

If you receive a notice from the government about a tax lien, do not ignore the problem. Respond to the government as soon as possible to prevent further issues. If you have additional questions about your tax lien, you should consult a tax specialist.

For more information on tax liens, contact a professional near you.

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Choosing Taxes Every Day When you start moving forward with your business, it is important to remember tax services each and every day. While it may not seem like an urgent, immediate need, the fact of the matter is that filing taxes is a smart and easy way to keep your business on track. When you pay taxes, you are setting aside money for the government, which can help you along the way. In addition to making it easy to keep track of your books, choosing taxes every time you get paid can really simplify things, which can make things easier for you and your family down the road. check out these great posts for tips and tricks.