Tax Lien Lawyers in Plymouth

A "lien" in Plymouth, New Hampshire 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 many 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 Plymouth, New Hampshire tax authorities, to collect taxes that the property-owner has failed to pay.

However, like any other debt-collection method, a tax lien is worthless if the debtor has no significant property on which a lien can be imposed. To get around this limitation, most tax liens in Plymouth, New Hampshire apply to after-acquired property (property obtained after the lien was created). Most other liens only apply to specific pieces of property, or property that the debtor owned at the time the lien went into effect.

Tax Lien Procedure in Plymouth, New Hampshire

Imposing a tax lien in Plymouth, New Hampshire is typically an uncomplicated process. Generally, the tax authorities simply have to make a determination that the taxpayer is delinquent in their taxes, and that imposing and enforcing a tax lien will actually be worth the effort.

Then, the IRS, or state tax authorities, send a "notice and demand," informing the taxpayer that they owe back taxes, and that they are required to pay their taxes within 10 days.

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 New Hampshire tax agency, giving them all the rights in your property that the law allows.

However, in Plymouth, New Hampshire, 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 substantial 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 limited period of time.

How Can a Plymouth, New Hampshire Tax Lien Lawyer Help?

If you are notified by the government that you owe back taxes in New Hampshire, and that they are going to pursue a tax lien to collect their money, things can get very complicated, very quickly.

Accordingly, if you think that any piece of property you own might become subject to a tax lien in Plymouth, New Hampshire, you should not hesitate to seek the advice of a competent tax attorney immediately.