Instructions For Requesting A Certificate Of Release Of Federal Tax Lien

State:
New York
Control #:
NY-LR055T
Format:
Word; 
Rich Text
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Description

The Department of Treasury through the IRS certifies that the taxpayer has satisfied the taxes for which a lien was filed again real property.

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FAQ

What is a Certificate of Discharge? As the name implies, a certificate of discharge is a document that informs the court of the IRS's intent to release the tax lien from your property. This process removes the agency's right to seize available profits from the sale of the property.

The document used to release a lien is Form 668(Z),Certificate of Release of Federal Tax Lien. Servicewide Delegation Order 5-4 lists those employees who have the authority to approve Federal tax lien releases and other lien related certificates.

Taxpayers generally request the withdrawal using Form 12277, Application for Withdrawal of Filed Form 668(Y), Notice of Federal Tax Lien; however, any written request that provides sufficient information may by used. Requests for withdrawals should be considered regardless of the date the NFTL was filed.

Discharge means the IRS removes the lien from property so that it may transfer to the new owner free of the lien. Use Form 14135. Subordination means the IRS gives another creditor the right to be paid before the tax lien is paid.

Complete Form 14135, Application for Certificate of Discharge of Federal Tax Lien attached with this publication.

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If you are not the taxpayer, provide the total amount shown on the federal tax liens you believe encumber the property in question. You need to get your discharge or subordination application to the IRS at least 45 days before the sale or loan settlement meeting.(7) Taxpayer requests. When the debt is paid, the lien is released. The best way to get rid of it is to get an IRS Certificate of Release of Federal Tax Lien.

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Instructions For Requesting A Certificate Of Release Of Federal Tax Lien