Bradenton Tax Lien Lawyer

Bradenton Tax Lien Attorney

A tax lien can seem like one of the less-serious forms of collection activities by the Internal Revenue Service (IRS) or the Florida Department of Revenue (DOR). However, there are many collateral financial consequences of liens, eventually resulting in the loss of the property the lien is on. It’s important to work with a Bradenton tax lien lawyer to deal with this collection action and then address the underlying tax debt you owe, especially if you can’t afford it otherwise.

Hire a Tax Lien Lawyer You Can Rely On

At TaxSmith, LLC, we have spent years supporting taxpayers in Florida when they are dealing with stressful and financially draining collection actions. We know how state and federal tax codes affect both individual and business taxpayers, including the ways you can resolve tax debt and stop collection actions.

Our team listens to your situation and determines the right way to handle a tax lien based on your financial circumstances. We pride ourselves on exceptional, transparent, and straightforward tax advice.

Collection Actions for Unpaid Taxes

In fiscal year 2024, the IRS assessed over 22.4 million penalties for the failure to pay for individual, trust, and estate income taxes, totaling over $7.8 billion. Penalties can be assessed for many other issues, like math and information errors, late payments, or bounced checks. There were over 1.2 million math errors on individual income tax returns for 2023.

If these types of penalties are not paid or addressed, they grow in interest. Some penalties continue to be assessed. If you are a taxpayer who owes penalties or tax debt and you ignore it, you could face collection actions. Both the IRS and the DOR can take action to collect your unpaid taxes if you haven’t made any efforts to pay or negotiate your debt.

The IRS made nearly 197,000 filed notices for tax liens to recover debt. Other collection actions include levying accounts, seizing assets, or wage garnishment.

Can You Stop a Tax Lien?

You can stop a tax lien most efficiently by paying the tax debt you owe. After the IRS or DOR processes the payment, the lien will be removed.

Many taxpayers face a lien because they can’t pay back the debt, however. When this is the case, you can work to negotiate the tax debt. Options like a payment plan or penalty abatement can be used to reduce the amount you owe the agency or give you a longer time to pay the debt. These options can also sometimes stop collection actions.  The nearest IRS Taxpayer Assistance Center Office to Bradenton is located in Sarasota on Cattleridge Boulevard. Your attorney can represent you in negotiations through this office.

How Does a Tax Lien Harm Your Life?

There are many disadvantages to your financial and personal life when a lien is placed on your property. The IRS or DOR could place a lien on your home, your vehicle, other real estate, your bank accounts, and other assets. A lien is publicly accessible information. It can have several consequences that include:

• Making it harder to secure employment, especially when the field requires a level of security clearance
• Harming your credit score and preventing you from obtaining credit
• Increasing your risk of being the target of scams, especially those related to the information about your lien
• Harming your professional reputation and profits when you own a business, especially if the lien affects your company’s property or its accounts receivable
• Preventing you from selling or refinancing the asset the lien is on, limiting your financial abilities
• Leading to interference from tax agencies when you buy and sell new assets, including new liens on assets you buy

These consequences can affect you for years, especially if you do nothing to address the debt. Eventually, you can lose the property the lien is on.

FAQs About Bradenton, FL Tax Lien Law

What Kind of Attorney Handles Liens?

An attorney who handles liens is a debt attorney, while tax debt attorneys can help you with tax liens. A tax lien is placed by a tax agency, while a lien can be placed by other creditors, like a credit card company. The right attorney can help you negotiate with the tax agency or consumer creditor about your debt, potentially working to remove the lien from your property.

Is Hiring a Tax Attorney for a Lien Worth the Cost?

Hiring a tax attorney for a lien may be worth the cost if you are unable to pay back your tax debt in full. Collection actions like a lien can cause serious financial hardship, and an attorney can help you assess other options. Debt settlement with a tax agency could be an option to clear a lien and also limit or eliminate your debt. For many taxpayers, debt settlement can save money, especially compared to the consequences of a lien.

How Long Do Tax Liens Last in Florida?

A tax lien in Florida, once filed, typically lasts 5-20 years before it expires. However, this does not always mean the lien will end at that time, because a tax agency can renew your lien, extending the time it lasts. Even if the lien does end, the agency could still seize the property in a levy. In order to end a tax lien, it is better to pay your debt or negotiate a settlement.

How Do Tax Liens Work in Florida?

Tax liens in Florida are a claim on your property or another asset, and that asset is held as collateral for a tax agency. The lien stops you from refinancing the asset or selling it. A tax agency may place a lien if you owe back taxes that you haven’t paid. If you continue not to pay, the agency could seize the asset and sell it to cover your debt. Multiple liens could be placed on your assets.

Finding the Right Bradenton Tax Lien Attorney

When you hire a tax lien lawyer, they can give you legal advice and advocate for you against IRS or DOR tax collection actions. You shouldn’t wait to address your debt. Our firm knows how overwhelming this situation can be, but our Bradenton tax lien lawyers can help. Get in touch with TaxSmith, LLC, today and let us help you understand your options.