Removal of Tax Lien From Credit Report

by Kenneth Hoffman in ,

New IRS procedures allow for the taxpayer to file an Application for a Withdrawal of a Federal Tax Lien (Form 12277) after the debt has been paid in full. 

The advantage of a Withdrawal, rather than merely a Release, which is always filed when the tax is paid, is that from a credit standpoint, the Withdrawal acts as if the Federal Tax Lien was never filed in the first place.  The removal of the Federal Tax Lien from your credit report should increase your overall credit score.

There is a specific way the form should be completed.  If you have a Federal Tax Lien on your credit report, please contact us.

K.R. Hoffman & Co., LLC, counsels Entrepreneurs, Professionals and Select Individuals in taking control of their taxes and understand their financial affairs. Discover how we can help you with your business and tax challenges; call me at (954) 591-8290 or drop me a note.

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