Tax Liens in Centerton, Arkansas

Find the Right Lawyer Now

In Centerton, Arkansas, a "lien" is a security interest placed on a piece of property, typically land or a house, to secure the payment of a debt. It usually gives a creditor the right to take ownership of any equity that exists in the property, to secure the payment of the debt. If the owner sells the property, the creditor may also be entitled to the funds of the sale, up to the amount owed. It can also give the holder of the lien a higher priority status, giving them an advantage over competing creditors, if the debtor files bankruptcy.

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

Of course, a tax lien in Centerton, Arkansas isn't worth much more than the paper it's printed on if the debtor doesn't own any property of value, on which a lien could be placed. Nonetheless, a tax lien applies to property that the taxpayer obtains even after the lien is created. Apparently, this makes it quite a bit easier for the government to collect its taxes.

Tax Lien Procedure in Centerton, Arkansas

The process of imposing a tax lien on property in Centerton, Arkansas is typically fairly simple. The initial step is for the IRS or local tax agency to decide that a person truly owes back taxes, and that it is worth the effort to impose a lien.

At this point, they will send the taxpayer a written notice stating that they owe a particular amount of money in back taxes, and that they have a small window of time (frequently 10 days or less) to pay it.

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

But, these rights are limited. In Centerton, Arkansas, and everywhere else in the United States, the IRS has 10 years to enforce a tax lien. If they do nothing about it within 10 years, the lien expires. This rule exists for a few reasons. First, it encourages the IRS to act as quickly and efficiently as possible, and not "sit on its rights." Also, it acknowledges the fact that any encumbrance on a piece of property, such as a lien, makes the property less valuable. By guaranteeing that the lien will either be satisfied or expire within 10 years, this prevents property from being withheld from the stream of commerce forever.

Find a Centerton Lawyer that Specializes in Your Area of Need:

How Can a Centerton, Arkansas Tax Lien Lawyer Help?

If you are notified by the government that you owe back taxes in Arkansas, and that they are going to pursue a tax lien to collect their money, things can get very confusing, quite quickly.

Therefore, if you think that any piece of property you own might become subject to a tax lien in Centerton, Arkansas, you should not delay to seek the advice of a skilled tax attorney immediately.

Tax Lien Attorneys in the Largest AR Cities

Show Arkansas Cities

Tax Lien Lawyers in Other Arkansas Cities and Towns


Find the Right Lawyer Now

Need a Lawyer?

No obligation - Lawyers compete for your case. Choose your issue & get started now: