Tax Lien Removal

[pritchardhallhokie]

I know that a Federal Tax Lien now comes off your CR completely after being paid in full, does this apply to State Liens as well?  If so, could someone please link the page that has that information?

THANKS!!!!

[Anonymous]

I was just on TU website looking at information. I found this under FAQ:

Tax liens:
Unpaid tax liens remain on file indefinitely. Paid tax liens remain on file for seven years from the date paid.

[pritchardhallhokie]

Thanks,

I'm referring to something new that just came out regarding Tax Liens and being removed after being paid (Federal).  Was wondering if this applied to state also.

Thanks!

[Anonymous]

OK. I googled and that is good info to know.

But the state question would depend on the laws of the state you live in. That information might be helpful to the forum.

[Andrew22]

For the IRS, removal doesn't happen automatically after satisfying the lien, however. You must apply for a withdrawal, and the IRS still has discretion to deny it. I just went through the process successfully,

[pritchardhallhokie]

Hey Andrew, thanks for the reply.  Was this a state lien?  Which state?

[Andrew22]

Hey there: no, this is only for federal. You're right that the feds recently changed policy to withdrawing filed, paid liens if asked. And they just did it for me. It was no questions asked, I filled out the application, checked a box saying, basically, it would be good for me, and they approved two weeks later. But the IRS called me to explain that this was a one-time deal. If I ever had a lien again, there would be no withdrawal next time. The states, I'm afraid are a different matter...