Tax Lien Lawyers in Racine County

A "lien" in Racine County, Wisconsin is a type of security interest that one person or entity has in someone else's property. Typically, a lien is created by a court, to secure payment of a debt. A lien gives its holder many rights in the property that is subject to it, including the right to seize the proceeds if the property is sold, and priority access to the property, in front of other creditors.

As you might have gathered, a "tax lien" is simply a lien placed on property by the IRS or Racine County, Wisconsin tax authorities, to collect taxes that the property-owner has failed to pay.

Tax Liens in Racine County, Wisconsin are generally 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 virtually any property, including that which is acquired after the lien is imposed, can be subject to a tax lien.

Tax Lien Procedure in Racine County, Wisconsin

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

At this point, the taxpayer will receive a letter containing a "notice and demand," which, as the name suggests, gives notice that the recipient owes taxes, and demands immediate payment. It will usually give the taxpayer about 10 days to pay the demanded amount.

If this deadline expires, and the debtor does not pay the taxes they owe, the lien will take effect automatically. When this occurs, the IRS or Wisconsin tax agency will have significant rights against the taxpayer's property.

However, in Racine County, Wisconsin, 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 Racine County, Wisconsin Tax Lien Lawyer Help?

If you receive notice from the federal government, or the government of Wisconsin that a tax lien has been imposed on your property, some pretty complicated legal issues are necessarily involved.

Luckily for you, tax lawyers in Racine County, Wisconsin 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.