Tax Lien Lawyers in Tallmadge
In Tallmadge, Ohio, a "lien" is defined as a property right that's granted to a creditor against a piece of property owned by a debtor, for the purpose of collecting on the debt if the debtor is unwilling or unable to pay. A lien permits its owner to exercise some control over the property that is the subject of the lien. This includes the right to force a sale of the property, and to seize the resulting revenue, and priority access to the property ahead of other creditors.
A "tax lien" is simply a lien placed on a piece of property by the state or local government, to secure the payment of back taxes. A tax lien in Tallmadge, Ohio can arise to secure the payment of any federal or state tax, including income tax, estate tax, or gift tax.
Tax liens in Tallmadge, Ohio are ineffective if the taxpayer doesn't have any property to place the lien on. However, essentially any property, including that which the taxpayer obtains after the lien goes into effect, can be affected by a tax lien.
Tax Lien Procedure in Tallmadge, Ohio
The process of imposing a tax lien on property in Tallmadge, Ohio is typically fairly simple. The first step is for the IRS or local tax agency to determine that a person truly 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 (typically 10 days) to pay them without incurring a penalty.
If that time period expires, and the debtor still hasn't paid, the Ohio tax lien will go into effect automatically, with no further action required.
But, under federal law, there are limits to how tax liens can be enforced in Tallmadge, Ohio, and elsewhere. Usually, the IRS has 10 years to try and enforce a tax lien. If no effort is made to enforce a tax lien for 10 years, the lien is automatically lifted, and the lien holder loses all rights in it. This rule exists to ensure that the government collects its taxes in a reasonable time period, and it prevents valuable property (which could otherwise be contributing to the economy by being bought and sold) is not laded with a lien for an indefinite period of time.
How Can a Tallmadge, Ohio Tax Lien Lawyer Help?
If you find yourself on the receiving end of a tax lien in Ohio, you are going to have to wade through some substantial and confusing legal concerns.
Accordingly, it's important that you contact a tax attorney in Tallmadge, Ohio to ensure that whatever legal rights you have in this situation are protected. Your attorney will also be able to advise you on how to best deal with the situation.