You should immediately remove any IRS tax liens from your credit report as this could cause a lower credit score and leave you with damaged credit ratings. Initiate the process of having the lien removed by validating the lien directly with the credit bureau. Send a letter of dispute asking them to validate the debt.
Upon receiving the letter, the credit bureau will communicate with the federal or state government asking them for verification of the debt. You'll have to arrange payment for the removal of if it indeed was verified.
When a debt is a substantial amount, you may want to request the advice of a tax relief attorney to help with the negotiation of payment. Many times you can settle on a reduced amount and when the debt is satisfied, it can then be removed from your credit report.
IRS tax liens can be in collection for up to ten years and can remain on your credit report for seven years after it is paid. Failure to pay the back liability will cause it to remain on your report for a long time.
It is suggested to wait for at least three months after the debt is paid to argument the blemish again. Once it is satisfied, usually the government will disregard future validation inquiries. Therefore your IRS tax lien will not be verified and will then be removed. Also, if this blemish was made in error, mail documented proof with your dispute letter.
You can file an Offer in Compromise with the IRS and they will determine your ability to re-pay by looking at your income and your assets. If you have fallen on hard times financially, you have to make them aware, as this can help your cause. When the government decides to accept your OIC or not they will look at your; ability to repay, your assets, and your income. It can help your cause if you send a letter pleading financial hardship.
Working to get liens removed from your credit report starts after the fact. But the best thing to do is to make sure you stay current on your taxes to avoid the lien from appearing on your report in the first place. In conclusion, you do not have to live forever with bad credit. It is possible to remove IRS tax liens from your credit report.
Upon receiving the letter, the credit bureau will communicate with the federal or state government asking them for verification of the debt. You'll have to arrange payment for the removal of if it indeed was verified.
When a debt is a substantial amount, you may want to request the advice of a tax relief attorney to help with the negotiation of payment. Many times you can settle on a reduced amount and when the debt is satisfied, it can then be removed from your credit report.
IRS tax liens can be in collection for up to ten years and can remain on your credit report for seven years after it is paid. Failure to pay the back liability will cause it to remain on your report for a long time.
It is suggested to wait for at least three months after the debt is paid to argument the blemish again. Once it is satisfied, usually the government will disregard future validation inquiries. Therefore your IRS tax lien will not be verified and will then be removed. Also, if this blemish was made in error, mail documented proof with your dispute letter.
You can file an Offer in Compromise with the IRS and they will determine your ability to re-pay by looking at your income and your assets. If you have fallen on hard times financially, you have to make them aware, as this can help your cause. When the government decides to accept your OIC or not they will look at your; ability to repay, your assets, and your income. It can help your cause if you send a letter pleading financial hardship.
Working to get liens removed from your credit report starts after the fact. But the best thing to do is to make sure you stay current on your taxes to avoid the lien from appearing on your report in the first place. In conclusion, you do not have to live forever with bad credit. It is possible to remove IRS tax liens from your credit report.
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