Tax Lien Lawyers in Runnemede

A "lien" in Runnemede, New Jersey 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 various 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.

In Runnemede, New Jersey, a "tax lien" is simply a lien imposed by the government to compile back taxes from a citizen or corporation, when other methods for collecting have failed.

Tax Liens in Runnemede, New Jersey are typically only effective if the taxpayer has a significant amount of property on which a lien can be placed. However, it's critical to note that practically any property, including that which is acquired after the lien is imposed, can be subject to a tax lien.

Tax Lien Procedure in Runnemede, New Jersey

The actual process of setting up a Runnemede, New Jersey tax lien is normally pretty simple. The agency responsible for collecting taxes must first decide that a tax lien is warranted, normally 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 specific period of time (normally 10 days) to pay what they owe.

If this 10-day period expires without payment, the tax lien arises automatically. Once this happens, the tax authorities in New Jersey have all the options in the taxpayer's property that any other lien holder would have, containing priority over competing creditors.

Nonetheless, in Runnemede, New Jersey, 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 Runnemede, New Jersey Tax Lien Lawyer Help?

If you find yourself on the receiving end of a tax lien in New Jersey, you are going to have to wade through some substantial and intricate legal contentions.

Therefore, if you think that any piece of property you own might become subject to a tax lien in Runnemede, New Jersey, you should not delay to seek the advice of a qualified tax attorney immediately.