Tax Lien Lawyers in Falls City
A "lien" in Falls City, Nebraska 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 Falls City, Nebraska tax authorities, to collect taxes that the property-owner has failed to pay.
Of course, a tax lien in Falls City, Nebraska isn't worth much more than the paper it's printed on if the debtor doesn't own any property of value, on which a lien could be placed. However, a tax lien applies to property that the taxpayer obtains even after the lien is created. Obviously, this makes it quite a bit easier for the government to collect its taxes.
Tax Lien Procedure in Falls City, Nebraska
The actual process of setting up a Falls City, Nebraska tax lien is usually pretty simple. The agency responsible for collecting taxes must first determine that a tax lien is warranted, usually by finding that the debtor owes a significant amount of back taxes.
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 the back taxes are not paid before the deadline is up, the lien will usually take effect immediately, with no further action by the IRS or Nebraska tax agency, giving them all the rights in your property that the law allows.
However, if the federal government does not seek to enforce a tax lien in Falls City, Nebraska 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 Falls City, Nebraska Tax Lien Lawyer Help?
If you are notified by the government that you owe back taxes in Nebraska, and that they are going to pursue a tax lien to collect their money, things can get very complicated, very quickly.
Luckily for you, tax lawyers in Falls City, Nebraska 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.