This is a form of a Partial Release of Judgment Lien.
Form lien release with IRS is a legal document that releases a federal tax lien from a specific property or assets. This lien release can be obtained by individuals, businesses, or other entities that have previously faced a tax lien imposed by the Internal Revenue Service (IRS) due to unpaid taxes or unresolved tax issues. The primary purpose of this form is to provide proof that the lien has been officially released and the taxpayer is no longer obligated to repay the debt using the specific property or assets that were previously affected by the lien. It is important to note that this form is only applicable for releasing federal tax liens and does not cover any state or local tax liens. There are two main types of Form lien release with IRS: 1. Form 668(Z) — Certificate of Release of Federal Tax Lien: This form is used to release a federal tax lien from a specific property or assets. It provides the official acknowledgement that the taxpayer has fulfilled the necessary requirements to have the lien lifted. Once the taxpayer receives this form, it is crucial to file it with the appropriate county office or jurisdiction where the lien was originally filed to ensure it is properly recorded and removed from public records. 2. Form 12277 — Application for Withdrawal of Filed Form 668(Y), Notice of Federal Tax Lien: In some cases, taxpayers may be eligible to request the withdrawal of a filed federal tax lien using this form. The IRS evaluates various criteria, such as adequate payment arrangements, timely payment history, or special circumstances, to determine whether the taxpayer qualifies for the withdrawal. If approved, the taxpayer will receive Form 12277 as confirmation that the notice of federal tax lien has been effectively withdrawn, potentially providing a fresh start for their financial situation. To complete these forms accurately, taxpayers should provide essential information, including their personal or business details, the tax years or periods involved, the property or assets affected by the lien, and the reason for requesting the release or withdrawal. Overall, Form lien release with IRS is a crucial document that allows taxpayers to officially release or withdraw federal tax liens, providing them with the opportunity to rebuild their financial standing and regain control over their properties/assets affected by the lien.
