Orlando Tax Lien Lawyer

Orlando Tax Lien Attorney

When you have unpaid taxes, one action that the Internal Revenue Service (IRS) or state tax agency may take is placing a tax lien on your property. This lien can harm your credit, your financial abilities, and future opportunities and may even result in the loss of your home or business. Looking through your options with an Orlando tax lien lawyer can help you find the right resolution to your tax debt situation and avoid the more severe consequences of a tax lien.

Finding the Right Tax Attorneys in Orlando

To prevent the serious financial consequences of a tax lien, you must address your tax debt. The most effective way to do this is to pay back the entirety of your tax debt. This, unfortunately, is not an option for every taxpayer. If you do not have the financial ability to repay your tax debt, it can be incredibly stressful and make it tempting to ignore the issue. However, this will only make the problem worsen and can ultimately result in collection actions like tax liens that further threaten your financial stability.

This is why you want to work with an attorney. An Orlando tax attorney can review your options for paying back the IRS and what abatements or payment plan options you qualify for. At Tax Smith Tax Attorneys, we have decades of experience settling tax debt and dealing with tax laws. If you are facing a tax lien on your home or business, we can help you address it and negotiate with the IRS if you are not able to immediately pay back your debt.

What Is a Tax Lien in Orlando?

A tax lien is a state or federal government’s claim on a specific property you own in response to owed and unpaid back taxes. A tax lien is not the first step that these agencies will take when you owe taxes, but it may occur if several notices of a tax balance have been ignored. If significant time passes without paying or negotiating your tax debt, you may find a lien placed on your property. If the lien is not addressed, it may be followed by a levy or the governmental seizure of that property.

A tax lien means the state or federal agency has a claim to the assets it has placed a lien on, meaning you cannot sell those assets. The agency can recover those assets to pay your debt if you do not address the debt. A tax lien is a public governmental claim, and this claim is discoverable by creditors and scammers. To avoid these negative impacts, it’s essential to focus on settling your tax debt promptly.

How Does a Tax Lien Affect You?

Some taxpayers in Orlando, Florida, underestimate the impact of a tax lien because it does not have the same immediate threat as a tax levy. If you have a tax lien, you should not ignore it. There are many consequences of having a tax lien; the most serious is that it can eventually become a tax levy. Some of the effects of a lien include:

• Impacting your credit and ability to use credit, as the information is public for creditors to see
• Preventing you from obtaining specific jobs or fields
• Affecting your profits, income, and reputation as a business owner
• Increasing the number of scammers attempting to defraud you due to the public knowledge of the lien
• Preventing you from buying or selling assets without the tax agency’s involvement, including taking profits from asset sales
• Affecting your assets even after filing for bankruptcy

When you work with a tax attorney to address a tax lien, you can more efficiently address the collection action and potentially avoid these consequences. Finding other options to repay your debt and negotiating with the agency could result in the removal of the lien, protecting your employment and finances. The sooner you address the tax lien, the less it will affect your life.

FAQs

Q: What Is the Statute of Limitations on a Tax Lien in Florida?

A: The statute of limitations on a tax lien in Florida is between five and 20 years, depending on the type of lien. This statute of limitations prevents the state or federal government from collecting back taxes through a lien when the time limit has expired. The countdown begins when the tax is assessed, becomes delinquent, or after a tax warrant has been filed, whichever date comes later. However, the lien could also be renewed, which extends the time limit of the statute of limitations.

Q: How Do I Get Around a Tax Lien?

A: The easiest way to get around a tax lien on your property is to pay back your tax debt in full and continue to pay all your taxes on time and in full. If you are not financially able to do this, it may be possible to negotiate other options with the IRS to avoid the effects of a tax lien. You could potentially negotiate options like a payment plan or penalty relief, depending on your circumstances.

Q: What Is the Rate of a Tax Lien Certificate in Florida?

A: The rate of a tax lien certificate in Florida is 18% a year for real property from the date of the tax delinquency until the certificate is sold. This is the maximum rate allowed. There is also a minimum 3% charge for delinquent taxes that were paid prior to the tax certificate being sold. These tax certificates may not hold interest, nor can they be levied for 60 days after the date of tax delinquency other than the 3% minimum charge.

Q: Do I Need an Attorney if a Lien has Been Placed on My Property?

A: It is recommended that you speak with an experienced tax attorney if a lien has been placed on your property. They can help you determine your options to have the lien removed and pay your outstanding tax debt, including seeking abatements for penalties and interest. If a lien has been placed on your property, time is of the essence. Delaying any solutions should be avoided, and an attorney should already be familiar with the appropriate tax law.

Tax Smith Tax Attorneys: Navigating Tax Debt Collection Actions

If you are financially unable to repay your tax debt, managing it can be an overwhelming process. It’s important to take action quickly, especially if you are faced with a tax lien or other tax agency collection action. Contact Tax Smith Tax Attorneys to learn how we can help.