If the IRS has audited you, it’s likely that you’ve been hit with a tax lien. This is a legal tool used by the IRS to collect back taxes owed to them. It’s similar to garnishment in that it keeps all your property and money off your bank account until they’re paid or released their claim. However, there are some differences between the two.
You’ve just received a notice that the IRS has registered a tax lien against your property. What do you do now? Don’t panic. A tax lien is not the end of the world, and there are several steps you can take to try to get it removed. The key is understanding the appeals process and taking action immediately.
In this article, we’ll walk you through the steps of appealing a tax lien and provide some resources to help you get started.
What Is a Tax Lien?
A tax lien is a government’s legal claim on your property to collect unpaid taxes. The lien can apply to real estate, personal property, or future income.
If you have a tax lien filed against you, it’s important to take action and appeal it as soon as possible. Ignoring the problem won’t make it disappear, and you could lose your property or assets. The first step is understanding the tax lien code and your options.
What Is the Tax Lien Code?
The Tax Lien Code is a set of laws and regulations that govern the process of appealing a tax lien. It’s a complex system, and it can be difficult to navigate without help from a qualified tax attorney.
That’s why it’s important to understand the basics of the Tax Lien Code before you file an appeal. This will help you ensure that you’re following all the correct procedures and give you a better understanding of your rights and responsibilities.
If you’re considering appealing a tax lien, it’s important to get professional help. An experienced tax attorney can guide you through the process and ensure that your appeal is handled correctly.
How Do I Appeal a Tax Lien?
So you’ve received a notice in the mail of a tax lien being placed against your property. It can be a confusing and overwhelming experience but don’t worry; we’re here to help.
The first thing you need to do is read the tax lien code carefully. This will give you an understanding of your rights and the appeals process. Once you know what you’re dealing with, you can start composing your appeal.
In your appeal, be sure to include the following information:
- Your name and contact information
- The property address
- A copy of the Notice of Tax Lien
- An explanation of why you believe the tax lien is invalid
- Any documentation or evidence you have to support your claim
- Appeals must be filed within 30 days of receiving the Notice of Tax Lien, so don’t delay!
What Are the Grounds for Appealing a Tax Lien?
The tax lien code provides four grounds on which you can appeal a tax lien:
- If the notice was not properly served
- If the amount of the tax lien is incorrect
- If the wrong person was served with the notice
- If you have already paid the taxes owed
If you think any of these grounds apply to your situation, you can file an appeal.
What Happens After I File an Appeal?
If you have filed an appeal, the IRS will send you a notice within 30 days that includes the date, time, and location of your hearing. The notice will also list the specific issues that will be discussed at the hearing. At the hearing, you will be able to present evidence and testify. After the hearing, the Appeals officer will issue a decision. If you do not agree with the decision, you may request a review by the Tax Court.
What are the different types of Liens?
There are three different types of liens, which are priority, statutory, and voluntary. Here’s a brief rundown of each one:
- Priority Liens: A priority lien is given to the IRS and takes precedence over all other creditors. This includes tax liens that are placed on your property by the state or local government.
- Statutory Liens: A statutory lien is a lien placed on your property by a court order. This can happen if you owe money to the IRS or if you default on a student loan.
- Voluntary Liens: You place a voluntary lien on your property! This happens when you sign a contract agreeing to let someone else place a lien on your property. An example would be if you take out a car loan and agree to let the lender put a lien on your car.
What Happens After I File an Appeal?
After you submit your appeal, the IRS will review it and determine whether or not to accept your case. If they do decide to accept it, they’ll send a letter with their decision. If not, you can call them at 1-800-829-1040 for additional information about why they denied your request or whether there are any other options available for appeal.
If your case has been referred to an OA (Office of Appeals), it’s important that you keep track because, once again—the OA may deny or refer back to how well filed appeals were handled by other agencies in the past year and how many appeals were received overall during that period as well as what type(s) of mistakes were made initially when filing an original complaint against someone who owes money on unpaid taxes owed by themselves or another individual(s).
You can appeal if you have a tax lien on your property. The first step is to contact the IRS and explain why you think the lien is unfair. You’ll need to provide evidence to support your case.
If the IRS agrees with you, they’ll remove the lien. If they don’t, you can still try to negotiate a payment plan or offer a compromise. If you can’t reach an agreement, you can file a petition in Tax Court.
Appealing a tax lien is a complex process, but it’s worth it if you think it is unfair. With the help of a tax professional, you can increase your chances of success.