Tax Relief Counsel:
Tax Lien Attorney
As your dedicated tax lien team, Tax Relief Counsel navigates the complexities of tax matters to protect your assets and financial well-being. Let us guide you through this challenging process with legal support and care.
Skilled Tax Lien Lawyer in Maryland
Navigating tax lien issues in Maryland requires the assistance of a seasoned tax attorney who understands the intricacies of state tax laws and the legal avenues available to resolve tax lien matters. At Tax Relief Counsel, we provide comprehensive legal assistance to individuals and businesses, whether they need help with state tax liens or IRS enforcement actions.
We understand the significant implications that tax liens can have on your financial well-being and peace of mind. That’s why we work diligently to develop personalized strategies tailored to your unique circumstances and objectives.
From negotiating with tax authorities to exploring legal remedies and settlement options, we are committed to protecting your rights and interests throughout the process.
What Is a Tax Lien?
A tax lien is a legal claim placed on a property by a government authority due to unpaid taxes. It’s a mechanism used by tax authorities to secure the debt owed to them by property owners. Tax liens can be imposed by federal, state, or local governments, and they can have significant implications for property owners.
Federal Tax Lien
A federal tax lien is a legal claim filed by the Internal Revenue Service (IRS) against your property for unpaid federal taxes, as authorized by the Internal Revenue Code, specifically 26 U.S.C. § 6321. It applies to all your property, including real estate, personal property, and financial assets.
If taxes remain unpaid after notice and demand, the IRS may issue a public Notice of Federal Tax Lien, alerting creditors and potential buyers of the IRS’s claim on your property. This can affect your ability to sell or refinance assets. It may also impact your ability to be issued credit.
Maryland State Tax Lien
A Maryland state tax lien is a legal claim imposed by the Comptroller of Maryland against your property for unpaid state taxes. If you owe Maryland state taxes and fail to pay them, the Comptroller may file a state tax lien against your property, including real estate, personal property, and financial assets.
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Consequences of a Tax Lien
Unlike a levy, a lien is not a seizure of property. Although a tax lien may not have the same power as a tax levy, it is still a claim on specific assets that you should not ignore. Failing to address a tax lien can lead to various consequences, making it crucial to take steps to protect yourself. Some of the most common consequences of an IRS tax lien include:
- Employment: Having a tax lien can limit your job opportunities or disqualify you from obtaining some security clearances
- Business: Your tax lien can affect your business’s property and accounts receivable
- Credit: Credit bureaus no longer report tax liens directly, but your lien information remains public and can harm your chances of obtaining credit
- Assets: If you have a federal tax lien, the government can prevent you from buying or selling assets without IRS approval, and any profits you make from selling assets may go to the IRS
Fortunately, there are various ways to settle your tax lien and move on. Tax Relief Counsel can assess your situation and suggest a plan to help you resolve your lien.
How to Remove a Tax Lien
To remove a tax lien, whether at the federal or Maryland state level, there are several options:
- Payment in Full: Paying the tax debt in full is the most straightforward way to release the lien
- Negotiate a Payment Plan: If you’re unable to pay in full, negotiate a payment plan that allows you to pay off the debt over time
- Offer in Compromise: Both federal and state authorities may accept an offer in compromise, settling the tax debt for less than the full amount
- Withdrawal: A government body may withdraw a tax lien if there is a direct debit installment agreement or proof that the lien was filed in error
- Discharge: If the sale or refinancing of a property satisfies the debt or benefits the government, you may be eligible to remove the lien from a specific property
- Subordination: A subordination rearranges lien priority, allowing other creditors to move ahead, aiding in financing or securing additional loans
- Expiration: Federal tax liens typically expire after ten years and 30 days if not refiled and after 20 years from the date of assessment in Maryland unless certain actions extend the expiration period
By entrusting your case to our knowledgeable tax attorney at Tax Relief Counsel, you can proceed with confidence, knowing that you have a dedicated advocate by your side every step of the way.
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How Can Our Tax Lien Lawyer Help You?
Tax Relief Counsel is dedicated to providing affordable and accessible legal services to clients in Maryland and beyond. By embracing virtual tools, we streamline communication and expand our client base. Whether you’re facing a domestic tax lien or offshore compliance dispute, we can provide:
Legal Guidance
We provide personalized legal guidance tailored to your specific tax lien situation
Negotiation and Representation
Our tax lien lawyer negotiates with tax authorities, advocating for installment agreements, offers in compromise, discharges, or subordinations
Documentation and Compliance Advice
We assist you in gathering necessary documentation and ensuring compliance with tax laws, minimizing the risk of further penalties
Representation in Legal Proceedings
If necessary, we provide representation in legal proceedings, including tax court or administrative hearings, to resolve tax lien disputes
At Tax Relief Counsel, our priority is achieving the best possible outcome for you. Experience the benefits of working with a firm that focuses on personalized service and transparent communication. Contact us today to schedule a free consultation with our skilled Maryland tax lien attorney.
Why Choose
Tax Relief Counsel?
Personalized Service
We provide tailored solutions to fit your unique tax situation and goals.
Proven Track Record
We have a history of successfully resolving tax issues for our clients.
Transparent Communication
We keep you informed throughout the process, ensuring you understand your options and the steps involved.
Remote Services
No matter where you're located, our remote services ensure you can access our assistance conveniently.
FAQs
What types of taxes can result in a tax lien?
Tax liens can result from various unpaid taxes, including federal income tax, state income tax, property tax, and other types of tax debts owed to government authorities.
What happens if I ignore a tax lien?
Ignoring a tax lien can lead to severe consequences, including additional penalties, interest, and potential enforcement actions by the IRS or state tax authorities, such as wage garnishment, bank levies, or property seizure.
How long does a tax lien stay on my credit report?
While tax liens used to be reported to credit bureaus, that is no longer the case. A tax lien can still prevent you from getting new credit, but it won’t be listed on your credit report.
Can I sell or refinance my property with a tax lien on it?
Selling or refinancing a property with a tax lien on it can be challenging but not impossible. In most cases, the tax lien must be satisfied or addressed before the property can be sold or refinanced. Options include paying off the tax debt, negotiating with the tax authority, or obtaining a subordination or discharge of the lien.
Does a federal tax lien survive foreclosure?
Yes, a federal tax lien can survive foreclosure. In some cases, the IRS may choose to redeem the property or enforce its lien rights against the proceeds from the foreclosure sale, depending on the circumstances and the amount of the tax debt owed.
Are tax liens public records?
Yes, tax liens are public records. They are typically filed with county or state government offices and are accessible to the public. Tax lien information can often be found in online databases, county recorder’s offices, or through public records searches.
What is the difference between a tax lien and a tax levy?
A tax lien is a legal claim against property to secure the payment of taxes owed, while a tax levy is the actual seizure of property or assets to satisfy a tax debt. A tax lien is a claim, while a tax levy is the enforcement action taken by the government to collect the debt.
How long before a lien becomes a levy?
Before the government can take your assets, they will send you a Notice of Intent to Levy through mail or delivery. You are given a 30-day window from the day you receive this warning before they can take your assets.
However, please note that this rule has some exceptions. Your tax refunds (both federal and state) can still be levied within this 30-day window. In addition, the IRS may take action if they suspect that you are trying to get rid of your property to avoid paying your debts.
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