Tax Lien Lawyers in Montoursville
In Montoursville, Pennsylvania, 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.
As you might have gathered, a "tax lien" is simply a lien placed on property by the IRS or Montoursville, Pennsylvania tax authorities, to gather taxes that the property-owner has failed to pay.
However, a tax lien in Montoursville, Pennsylvania will be ineffective if the debtor doesn't own any valuable property to encumber with a lien. As with any debt, the creditor can't collect if the debtor doesn't have any assets. However, a tax lien can be applied to property that the taxpayer acquires after the lien goes into effect.
Tax Lien Procedure in Montoursville, Pennsylvania
In Montoursville, Pennsylvania, the procedure for imposing a tax lien is relatively simple. First, the IRS makes a determination that a person is delinquent in their tax obligation.
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 given period of time (typically 10 days) to pay what they owe.
If the back taxes are not paid before the deadline is up, the lien will typically take effect immediately, with no further action by the IRS or Pennsylvania tax agency, giving them all the rights in your property that the law permits.
However, if the federal government does not seek to enforce a tax lien in Montoursville, Pennsylvania 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 Montoursville, Pennsylvania Tax Lien Lawyer Help?
If you end up having a tax lien imposed on your property in Pennsylvania, you will probably have to deal with some fairly challenging legal issues, which might be confusing to a layperson.
Thankfully for you, tax lawyers in Montoursville, Pennsylvania 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.