Why You Should Act with Speed
Hefty Interests and Penalties Fees
Save Your Property and Prevent Wage Garnishment
Maintain a Good Standing with the Taxing Authority
How to Release a State Tax Lien
1. Contact Your State Government
It’s important to establish contact with your state. Contacting your state ensures that you find out how much you owe and the respective years of the tax debts. Never pay the state before confirming these important details because paying a lesser amount will impact your credit score.
2. Make the Full Payment
3. Create a Payment Plan
4. Join an Offer in Compromise Program
Mistakes to Avoid When Seeking a State Tax Lien Release
- Failing to hire a tax professional. You may feel like you can take on the state taxing authority by yourself, but an experienced professional knows what’s required and can make the process easier for you.
- Overlooking previous tax years. This often results in high interests and penalties. Once you establish contact with your state, you can determine the amount owed and the respective years that you did not file your returns.
- Not discussing the lien with your creditors. It is good practice to discuss your tax lien with credit bureau agencies and other creditors since it will be a public record.