Tax Lien Lawyers in Indian Trail

A "lien" in Indian Trail, 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 several 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 likely 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 Indian Trail, North Carolina tax authorities, to collect taxes that the property-owner has failed to pay.

Tax Liens in Indian Trail, North Carolina are generally 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 essentially any property, including that which is acquired after the lien is imposed, can be subject to a tax lien.

Tax Lien Procedure in Indian Trail, North Carolina

The process of imposing a tax lien on property in Indian Trail, North Carolina is usually fairly simple. The first step is for the IRS or local tax agency to determine that a person actually owes back taxes, and that it is worth the effort to impose a lien.

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

If this deadline expires, and the debtor does not pay the taxes they owe, the lien will take effect automatically. When this occurs, the IRS or North Carolina tax agency will have significant rights against the taxpayer's property.

However, if the federal government does not seek to enforce a tax lien in Indian Trail, North Carolina within 10 years of imposing it, federal law dictates that the lien automatically expires. This is effectively a statute of limitations on a tax lien, meant to encourage the federal government to collect its taxes in a reasonable period of time, and ensure that property is not encumbered by a lien forever.

How Can a Indian Trail, North Carolina Tax Lien Lawyer Help?

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

Luckily for you, tax lawyers in Indian Trail, North Carolina are experts at dealing with matters such as these, and can make sure your rights are protected, and advise you on the best way to proceed, if you are facing the prospect of a tax lien.