Tax Lien Lawyers in Concord

A "lien" in Concord, New Hampshire is a property right that a person or entity has in property owned by someone else, created by law, for the purpose of enforcing a debt. A lien gives its holder several rights in the property of another person, including the right to seize the proceeds of a sale of the property, and, if the debtor files for bankruptcy, the right to go to the front of the line among other creditors, making it more likely that the lien holder will collect something.

As you might have gathered, a "tax lien" is simply a lien placed on property by the IRS or Concord, New Hampshire tax authorities, to compile taxes that the property-owner has failed to pay.

However, like any other debt-collection method, a tax lien is worthless if the debtor has no considerable property on which a lien can be imposed. To get around this limitation, most tax liens in Concord, New Hampshire apply to after-acquired property (property obtained after the lien was created). Most other liens only apply to certain pieces of property, or property that the debtor owned at the time the lien went into effect.

Tax Lien Procedure in Concord, New Hampshire

The process of imposing a tax lien on property in Concord, New Hampshire is normally fairly simple. The first step is for the IRS or local tax agency to determine that a person really owes back taxes, and that it is worth the effort to impose a lien.

They will then mail a document called a "notice and demand," which lets the taxpayer know that they owe money on their taxes, and that they have a specific period of time (normally 10 days) to pay what they owe.

If this 10-day period expires without payment, the tax lien arises automatically. Once this happens, the tax authorities in New Hampshire have all the rights in the taxpayer's property that any other lien holder would have, including priority over competing creditors.

However, in Concord, New Hampshire, and anywhere else in America, a tax lien only lasts for 10 years, and then it automatically expires. If the IRS fails to exercise the substantial rights that it has under a tax lien within that period of time, it is assumed that they never intend to do so, and the lien will cease to exist. This ensures that valuable property is only kept out of the economy for a certain period of time.

How Can a Concord, New Hampshire Tax Lien Lawyer Help?

If you find yourself on the receiving end of a tax lien in New Hampshire, you are going to have to wade through some substantial and difficult legal contentions.

Accordingly, if you think that any piece of property you own might become subject to a tax lien in Concord, New Hampshire, you should not hesitate to seek the advice of a qualified tax attorney immediately.