Monday, February 24, 2014

Find Out If You Have A Tax Lien Against Yourself

A tax lien is like a lock on your personal or real property.


A tax lien is imposed on property to secure the payment of taxes. It can be filed on either the taxpayer's real or personal property. Local or state tax liens commonly arise when a person or business has not paid income, unemployment withholding, sales, real property or personal property taxes. As for federal tax liens, they may result from outstanding liability on any kind of federal tax, including but not limited to income, gift or estate taxes.


Instructions


Real Property Vs. Personal Property


1. While state and federal tax liens are not necessarily recorded in the same jurisdiction or location, the general rule is that state and federal tax liens on real property are filed in the same location as real estate records, such as the county or parish recorder or registrar of deeds office that covers the jurisdiction where the real estate is located.


2. Real estate records are public, and can be searched on the recorder or registrar of deeds office's ledger, paper file or microfiche system. Increasingly, these records are accessible through online databases that are frequently updated by the designated administrative office. Each jurisdiction can, however, be different.


3. The state agency that maintains Uniform Commercial Code (UCC) records is typically the record-keeper for tax liens on personal property. State tax lien records are typically categorized and administered by county.


Conducting the Tax Lien Search


4. A tax lien search can uncover the name of the party responsible for the lien, the amount of the lien and the name of the lien holder. A name search is the most commonly conducted tax lien query. For a tax lien on real property, major queries will be for the name and location (property address or parcel number). Other search criteria include state, county, geographic area, type of property and date(s) of sale.


5. Assemble as much information as possible to cut your search time and increase your chances for success. Though most database search logistics will automatically include similar names in the results, be prepared to use name-spelling variations or an alternative search logic to pick up spelling and indexing errors.


6. A growing number of online commercial providers offer tax lien database searches. Knowx.com and LexisNexis.com offer comprehensive tax-lien database searches online. Westlaw.com provides database searches for corporate tax liens in certain jurisdictions.


Tips Warnings


With diligence and patience, state and federal public records can be used to uncover state and federal tax liens, with the only cost being the time you put into your search. When time is limited and due diligence is crucial, a growing number of online search providers can be used to uncover a lien.


The CCH Standard Federal Tax Reporter, published by the U.S. government, provides free tax lien records in specific areas. Paragraph 28160-205 of the Tax Reporter lists federal tax liens filed in specific locations.








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