Tax Liens in Tempe, Arizona
In Tempe, Arizona, a "lien" is a security interest placed on a piece of property, usually land or a house, to secure the payment of a debt. It generally 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 proceeds 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 Tempe, Arizona tax authorities, to collect 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 significant property on which a lien can be imposed. To get around this limitation, most tax liens in Tempe, Arizona apply to after-acquired property (property obtained after the lien was created). Most other liens only apply to specific pieces of property, or property that the debtor owned at the time the lien went into effect.
Tax Lien Procedure in Tempe, Arizona
Imposing a tax lien in Tempe, Arizona is typically an uncomplicated process. Generally, the tax authorities simply have to make a determination that the taxpayer is delinquent in their taxes, and that imposing and enforcing a tax lien will actually be worth the effort.
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 certain period of time (usually 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 Arizona have all the rights in the taxpayer's property that any other lien holder would have, including priority over competing creditors.
However, in Tempe, Arizona, 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 limited period of time.
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How Can a Tempe, Arizona Tax Lien Lawyer Help?
If the federal government, or the government of Arizona informs you that they intend to place a tax lien on your property, you will likely face some pretty complicated and daunting legal issues.
So, it should go without saying that if you are facing the prospect of your home or vehicle being slapped with a tax lien, you need to seek the advice of a good tax lawyer in Tempe, Arizona as soon as you can.
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Life in TempeTempe is located in Maricopa County in Arizona. It has a population of about 175,000 and was incorporated in the year 1894. Its name comes from the "Vale of Tempe" located in Greece. Tempe is known for being the headquarters for several prominent corporations.
The economy of Tempe is comprised mainly of large corporations which have their headquarters in the city. For example, companies such as U.S. Airways and Insight Enterprises have their executive headquarters in Tempe. Cold Stone Creamery, a popular ice cream franchise, was originally located in the city. In addition, Tempe is home to Arizona State University at Tempe, where the Insight Bowl is held every year.
Residents of Tempe enjoy great performance in the arts at the Gammage Auditorium and the Tempe Center for the Arts. Also, visitors frequently enjoy shopping in Tempe's retail district, located at Mills Avenue and at Arizona Mills, one of the largest shopping malls in the state. The Tempe Marketplace is where you can go for excellent outdoor festivals and concerts.
Lawyers in Tempe, Arizona typically file legal claims at the Tempe Municipal Court. The municipal court handles a wide range of legal issues and ordinance violations. Tempe lawyers also participate in a variety of exciting civic and community service events.