IRS Federal Tax Liens – Will Not Stop Short Sales – Expert Tax Firm

March 23, 2011
Written by: steve

Fresh Start Tax

 

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Call us today if you need representation to help with the removal of the federal tax lien. We will give you one flat fee, not charge by the hour.

Many people feel that since there is a Federal Tax Lien on their property that a short sale will not go through. However………. that is not the case.

If you have a Federal Tax Lien and are considering a short sale, the sale will still go through. It will take a little time.

How it works:

Homeowners who are facing foreclosure and trying to sell their home should apply for the  Federal Tax Lien discharge. The procedure for applying for a tax lien discharge is set forth in IRS Publication 783.

This publication also outlines all of the documentation which must be submitted with your request for a tax lien discharge. You will need things like appraisals, closing statements, payoff information, contracts and such.

You will also need to fill out form 14135.

Keep in mind that if the IRS grants the federal tax lien discharge, you will still owe them all the taxes. The IRS is releasing the lien on that piece of property only to assist you in the short selling your home.

Filed Under: IRS Tax Advice | Tax News
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