How Do You Remove a Lien Against Your Property? Requesting a Withdrawal of a Lien – Option One Part V
A “withdrawal” removes the public Notice of Federal Tax Lien and assures that the IRS is not competing with other creditors for your property; however, you are still liable for the amount due. For eligibility, refer to Form 12277, Application for the Withdrawal of Filed Form 668(Y), Notice of Federal Tax Lien (Internal Revenue Code Section 6323(j)) (PDF) and the video Lien Notice Withdrawal.
Two additional Withdrawal options resulted from the Commissioner’s 2011 Fresh Start initiative.
One option may allow withdrawal of your Notice of Federal Tax Lien after the lien’s release. General eligibility includes:
Your tax liability has been satisfied and your lien has been released; and also:
- You are in compliance for the past three years in filing – all individual returns, business returns, and information returns;
- You are current on your estimated tax payments and federal tax deposits, as applicable.
Next week – How to request a withdrawal of a Federal Tax Lien – Option Two?
(IRS.gov) (TTT 01/08/19)
How Do You Remove a Lien Against Your Property? Requesting an Immediate Certificate of Release Part IV
If you have an immediate or urgent need for a Certificate of Release of Federal Tax Lien, you can visit or telephone the local IRS office. A list of local offices, their available services, and their hours of operation may be found on the IRS website www.irs.gov by searching “Local Contacts.”
When visiting the IRS office, be prepared to show proof of payment or other documentation that demonstrates your liability has been satisfied. If there is an unpaid balance on your liability, you must pay the balance with a certified check, cashier’s check, or acceptable money order before a certificate of release can be issued. For other forms of payment, the certificate of release will be issued within 30 days of the liability being satisfied.
To request a payoff or other information about your Notice of Federal Tax Lien, contact the Centralized Lien Operation as listed below General information about Federal tax liens may be found at www.irs.gov by searching “liens.”
Telephone Number: 800-913-6050
Outside the United States: 859-669-4811
Fax number: 855-390-3528
If you prefer to write, your request should be mailed or faxed to the following address: Internal Revenue Service Centralized Lien Operation P.O. Box 145595, Stop 8420G Cincinnati, OH 45250-5595
Next week – How to request a withdrawal of a Federal Tax Lien?
(IRS.gov Publication 1450) (TTT 01/01/19)
We hope you have a blessed holiday season! We are excited and ready for the new year and new tax filing season!
How Do You Remove a Lien Against Your Property? Requesting a Certificate of Release Part III
Requesting a Certificate of Release If the Federal tax lien has not been released, you can request a Certificate of Release of Federal Tax Lien. The request must be in writing and should be mailed to the Advisory Group servicing your area. Use Publication 4235, Collection Advisory Group Addresses, to determine the address to mail your request.
Your request must contain the following information:
• The date of your request
• The name and address of the taxpayer
• One copy of each Notice of Federal Tax Lien you want released
• Why the lien should be released
• A telephone number with the best time for us to call you should we need additional information
If you have paid the tax liability, enclose a copy of any of the following with your request:
• An Internal Revenue receipt
• A canceled check
• A record of payment by electronic fund transfer
• Any other acceptable proof of payment
We may need to research your account. We will provide a certificate of release once we have confirmed your liability is satisfied.
Next week – How to request an immediate Certificate of Release?
(IRS.gov Publication 1450) (TTT 12/18/18)
How Do You Remove a Lien Against Your Property? Part II
The IRS suggests four methods to remove a lien against your property: Pay in full, Discharge of property, subordination, and withdrawal.
A. Pay in full option:
(1) When your tax debt is paid in full, the IRS will release your lein within 30 days (IRC 6325(a). The IRS will issue a Certificate of Release of Federal Tax Lien for filing in the same location where the notice of lien was filed. If we have not released the lien within 30 days, you can ask for a certificate of release.
(2) Requesting a Copy of the Certificate: If it has been more than 30 days since you satisfied your tax liability and you have not received a copy of the Certificate of Release of Federal Tax Lien, you may call the Centralized Lien Operation to check the status of the certificate.
Telephone Number: 800-913-6050
Outside the United States: 859-669-4811
Fax number: 855-390-3528
If you prefer to write, your request should be mailed or faxed to the following address:
Internal Revenue Service
Centralized Lien Operation
P.O. Box 145595, Stop 8420G
Cincinnati, OH 45250-5595
The copy of the certificate you receive will not show the official recording information. For a copy of the recorded certificate, you must contact the recording office where the Certificate of Release of Federal Tax Lien was filed.
Next week – How to request a Certificate of Release?
(IRS.gov) (TTT 12/11/18)
Understanding a Federal Tax Lien Part I:
A federal tax lien is the government’s legal claim against your property when you neglect or fail to pay a tax debt. The lien protects the government’s interest in all your property, including real estate, personal property and financial assets. A federal tax lien exists after:
* Puts your balance due on the books (assesses your liability);
* Sends you a bill that explains how much you owe (Notice and Demand for Payment); and
* Neglect or refuse to fully pay the debt in time.
The IRS files a public document, the Notice of Federal Tax Lien, to alert creditors that the government has a legal right to your property. For more information, refer to Publication 594, The IRS Collection Process (PDF) .
Next week – How do you remove a lien against your property?
(IRS.gov) (TTT 12/04/18)
What’s the Difference Between a Levy and a Lien?
A levy is a legal seizure of your property to satisfy a tax debt. Levies are different from liens. A lien is a legal claim against your property to secure payment of your tax debt, while a levy actually takes the property to satisfy the tax debt.
A federal tax lien comes into being when the IRS assesses a tax against you and sends you a bill that you neglect or refuse to pay it. The IRS files a public document, the Notice of Federal Tax Lien, to alert creditors that the government has a legal right to your property. You have the right to appeal if the IRS advises you of the intent to file a Notice of Federal Tax Lien. Your appeal rights are explained in IRS Publication 1660, Collection Appeal Rights (PDF).
When filed, the Notice of Federal Tax Lien is a public document that alerts other creditors that the IRS is asserting a secured claim against your assets. Credit reporting agencies may find the Notice of Federal Tax Lien and include it in your credit report. An IRS levy is not a public record and should not affect your credit report.
(www.IRS.gov) (TTT 11/27/18)
Have a safe and happy Thanksgiving this week!
Taxpayers Now Have More Time to Challenge a Levy
The IRS reminds individuals and businesses that they have additional time to file an administrative claim or bring a civil action for wrongful levy or seizure. Tax reform legislation enacted in December extended the time limit from nine months to two years.
Here are some facts about levies and the extension of time to file a claim or civil action:
(Tax Reform Tax Tip 2018-123) (TTT 11/13/18)
IRS Warns Taxpayers New Twist on Phone Scam:
The Internal Revenue Service is warning taxpayers of a new twist on an old phone scam as criminals use telephone numbers that mimic IRS Taxpayer Assistance Centers (TACs) to trick taxpayers into paying non-existent tax bills.
In the latest version of the phone scam, criminals claim to be calling from a local IRS TAC office. Scam artists have programmed their computers to display the TAC telephone number, which appears on the taxpayer’s Caller ID when the call is made.
If the taxpayer questions their demand for tax payment, they direct the taxpayer to IRS.gov to look up the local TAC office telephone number to verify the phone number. The crooks hang up, wait a short time and then call back a second time, and they are able to fake or “spoof” the Caller ID to appear to be the IRS office calling. After the taxpayer has “verified” the call number, the fraudsters resume their demands for money, generally demanding payment on a debit card.
The IRS does not:
- Demand that you use a specific payment method, such as a prepaid debit card, gift card or wire transfer. The IRS will not ask for your debit or credit card numbers over the phone. If you owe taxes, make payments to the United States Treasury or review IRS.gov/payments for IRS online options.
- Demand that you pay taxes without the opportunity to question or appeal the amount they say you owe. Generally, the IRS will first mail you a bill if you owe any taxes. You should also be advised of your rights as a taxpayer.
- Threaten to bring in local police, immigration officers or other law enforcement to have you arrested for not paying. The IRS also cannot revoke your driver’s license, business licenses, or immigration status. Threats like these are common tactics scam artists use to trick victims into buying into their schemes.
Taxpayers who receive the IRS phone scam or any IRS impersonation scam should report it to the Treasury Inspector General for Tax Administration at its IRS Impersonation Scam Reporting site and to the IRS by emailing email@example.com with the subject line “IRS Phone Scam.”
(IR-2018-103) (TTT 11/6/18)