If you owe more than $10,000 to the IRS, then a tax lien may be put on your personal property. Specifically, a tax lien may be put on your real property, bank accounts, or other assets.
Why a Tax Lien Could Be a Problem for You
A tax lien gives the federal government an interest in your property. Thus, if a tax lien has been placed on your home, then the IRS could be paid the money that is owed if you were to sell the property. However, the tax lien may also create problems for you if you have no intention of selling your property.
Specifically, a tax lien:
- Can result in significant credit problems. The credit agencies view federal tax liens as red flags. You may see your credit score drop significantly, you may be less likely to qualify for credit, and your interest rates may rise.
- Could affect your business. If you own your own business, then a tax lien could attach to your business property and assets.
- May limit your bankruptcy discharge. Your tax lien and tax debt may not be dischargeable if you file a bankruptcy proceeding.
For these reasons, it is important to take a tax lien seriously if you owe the IRS money. There are steps that you can take to prevent a tax lien from affecting your life.
How a Tulsa Tax Lawyer May Help You
An experienced Tulsa tax attorney may help you reach an agreement with the IRS that results in the withdrawal of the tax lien. For more information about how to handle a tax lien, or the threat of a tax lien, please contact our Tulsa tax lawyers today at 800-721-7054, and please read our FREE book, The Ultimate Survival Guide for IRS Problems.