A Tax Lien is a public legal notification that lets creditors know that the IRS has claims to ones' personal properties, thereby making it more difficult to borrow, sell or trade. The lien attaches to any property one owns (car, house) and it includes any properties acquired after the lien has been filed.
The IRS needs to meet the following criteria before filing a Tax Lien:
1. Assess a liability.
2. Send taxpayer a written notice and demand for payment.
3. Taxpayer refuses to pay the debt in full within 10 days after notification.
Regardless of the amount due, the IRS can and will place a lien against a taxpayer's social security number. Depending on the amount of the liability, years filed or unfiled, it is a good idea to reach out and find a competent Tax Consultant to help you determine your options and best ways to resolve your tax liability.