Tax Lien Lawyers in Hendersonville
A "lien" in Hendersonville, North Carolina 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 numerous 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 possible 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 Hendersonville, North Carolina tax authorities, to gather taxes that the property-owner has failed to pay.
Tax Liens in Hendersonville, North Carolina are usually only effective if the taxpayer has a significant amount of property on which a lien can be placed. However, it's important 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 Hendersonville, North Carolina
The process of imposing a tax lien on property in Hendersonville, North Carolina 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.
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 given period of time (typically 10 days) to pay what they owe.
If that time period expires, and the debtor still hasn't paid, the North Carolina tax lien will go into effect automatically, with no additional action required.
But, these rights are limited. In Hendersonville, North Carolina, 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.
How Can a Hendersonville, North Carolina Tax Lien Lawyer Help?
If you receive notice from the federal government, or the government of North Carolina that a tax lien has been imposed on your property, some pretty intricate legal issues are necessarily involved.
Therefore, it's important that you contact a tax attorney in Hendersonville, North Carolina to ensure that whatever legal rights you have in this situation are defended. Your attorney will also be able to advise you on how to best deal with the situation.