Tax Lien Lawyers in Breaux Bridge

In Breaux Bridge, Louisiana, a "lien" is a type of property right, which is created by a court to acquire payment of a lawful debt. Typically, a valid lien gives its holder the right to seize the property subject to it, or at least some of the property's equity, to satisfy the debt. If the owner sells a piece of property that's subject to a lien, the creditor who owns the lien may be entitled to the proceeds, up to the amount you owe them. It can further put them "first in line" compared to other creditors, if the debtor files for bankruptcy.

A "tax lien," then, is a lien held by the government to collect a tax-related debt from a private entity, such as a citizen or corporation in Breaux Bridge, Louisiana.

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 Breaux Bridge, Louisiana apply to after-acquired property (property acquired 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 Breaux Bridge, Louisiana

In Breaux Bridge, Louisiana, the procedure for imposing a tax lien is relatively simple. First, the IRS makes a decision that a person is delinquent in their tax requirement.

Then, the taxpayer is sent a letter with a "notice and demand," which informs the taxpayer that the IRS has decided that they owe back taxes, and that they have a short period of time (normally 10 days) to pay them without incurring a penalty.

If the back taxes are not paid before the deadline is up, the lien will normally take effect immediately, with no further action by the IRS or Louisiana tax agency, giving them all the rights in your property that the law authorizes.

But, under federal law, there are limits to how tax liens can be enforced in Breaux Bridge, Louisiana, and elsewhere. Typically, the IRS has 10 years to try and enforce a tax lien. If no effort is made to enforce a tax lien for 10 years, the lien is automatically lifted, and the lien holder loses all rights in it. This rule exists to ensure that the government collects its taxes in a reasonable time period, and it prevents valuable property (which could otherwise be contributing to the economy by being bought and sold) is not laded with a lien for an indefinite period of time.

How Can a Breaux Bridge, Louisiana Tax Lien Lawyer Help?

If you end up having a tax lien imposed on your property in Louisiana, you will probably have to deal with some fairly hard legal issues, which might be complicated to a layperson.

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