The IRS filed Federal Tax Lien on my house in someone else’s name.

Taxpayers will often contact our office worried that the IRS filed a Federal Tax Lien (“FTL”) against their house – but the FTL is in someone else’s name.  This is a reality for numerous citizens who do not have a tax problem.  The IRS files FTL’s to secure the governments interest in a back tax liability against all property owned by the individual.

What should you do if you have a FTL that’s filed against your house?  Well, you need to make sure that you purchased the property with clear title.  The IRS files hundreds of thousands of FTL’s per year.  Taxpayers who own real property and then sell it need to acquire a lien discharge from the IRS to ensure that the lien does not stay on the property.  The IRS describes this process in Publication 784.