Tax Lien Lawyers in Grosse Pointe Farms

In Grosse Pointe Farms, Michigan, 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 simply a lien that is formed for the particular purpose of collecting taxes from a delinquent tax payer in Grosse Pointe Farms, Michigan.

Tax Liens in Grosse Pointe Farms, Michigan are typically only effective if the taxpayer has a significant amount of property on which a lien can be placed. However, it's crucial to note that basically any property, including that which is acquired after the lien is imposed, can be subject to a tax lien.

Tax Lien Procedure in Grosse Pointe Farms, Michigan

In Grosse Pointe Farms, Michigan, the process for creating a tax lien is fairly uncomplicated. First, the tax authorities decide that a taxpayer really owes taxes that they haven't paid (that they're delinquent in their taxes).

At this point, the taxpayer will receive a letter containing a "notice and demand," which, as the name suggests, gives notice that the recipient owes taxes, and demands quick payment. It will normally give the taxpayer about 10 days to pay the demanded amount.

If the deadline passes without payment, most tax liens in Michigan take effect automatically, giving the tax collectors all of the options in your property that any other lien holder would have.

Nonetheless, in Grosse Pointe Farms, Michigan, 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 considerable 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 Grosse Pointe Farms, Michigan Tax Lien Lawyer Help?

If you receive notice from the federal government, or the government of Michigan that a tax lien has been imposed on your property, some pretty complex legal issues are necessarily involved.

Thankfully, Grosse Pointe Farms, Michigan tax attorneys can help. If you are facing the prospect of a tax lien, you should not hesitate to seek qualified legal advice, to ensure that your legal rights are protected.