How You Can Remove a Tax Lien

If you have a tax lien on your credit report, you should take immediate action to remove it. This is a very bad mark and will lower your score considerably.

The first step is to request validation from the bureaus. This is done through sending a dispute letter directly to each.

Surprisingly it is not out of the ordinary for incorrect information to be reported on your credit. It is estimated that 1 in 4 people have inaccurate information on their report.

Once your letter is received an investigation will occur. The bureaus will contact the government and ask them to verify your debt. If it is verified you are going to have to make payment to remove it from your report.

Depending on the amount you owe it may be in your interest to contact a tax negotiator. This is because they can often negotiate a reduced payment for you. However you can also negotiate directly with the government.

These debts are collectible for 10 years. The negative mark will stay on your credit for 7 years once it is paid. If it goes unpaid you could have a lien on your report for a long time.

Once you pay your lien in full, we suggest you wait 3 months and then dispute the mark with the bureaus again. It has been learned that once payment is made the tax departments will frequently ignore validation requests from the bureaus.

This means that the negative mark will be removed from your report if it is not verified. However if this mark is a mistake and not your debt you should demand immediate proof and send any documentation to show this.

Repayment

The IRS and state government often accept partial payment. To propose this to them you will make an offer in compromise, often called an OIC.

The government will decide to accept based on; your income, assets, ability to repay, expected amount they will recover. It can help if you send in a letter explaining your financial hardship that led up to this.

It may be in your interest to hire a tax negotiator to help with this. However you do not have to just live with this mark on your report.

In sum, you can remove a tax lien and should. You don’t just have to wait seven years for this mark to fall off naturally.

For All of your INCORPORATING needs contact Samuel Wierdlow Inc. (www.SamuelWierdlowInc.info)