Tax Lien Lawyers in Swissvale

In Swissvale, 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 authorizes 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 Swissvale, Pennsylvania tax authorities, to compile taxes that the property-owner has failed to pay.

However, a tax lien in Swissvale, 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 Swissvale, Pennsylvania

The actual process of setting up a Swissvale, Pennsylvania tax lien is normally pretty simple. The agency responsible for collecting taxes must first determine that a tax lien is warranted, normally by finding that the debtor owes a significant amount of back taxes.

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 (normally 10 days) to pay them without incurring a penalty.

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

However, in Swissvale, Pennsylvania, 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 certain period of time.

How Can a Swissvale, Pennsylvania Tax Lien Lawyer Help?

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

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