Silent Automatic Lien
Definition of 'Silent Automatic Lien'A lien that does not appear in any public record. This is a method used by the IRS to collect unpaid taxes when less dramatic measures, such as sending letters to the delinquent taxpayer, have failed. A silent automatic tax lien is one of two types of tax liens. The other is a federal tax lien, which is public.Also known as an "automatic tax lien". |
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Investopedia explains 'Silent Automatic Lien'There are four ways to get rid of a silent automatic lien: paying the taxes owed, declaring bankruptcy, negotiating an agreement with the IRS (called an Offer in Compromise) and waiting out the time limit for collections. |
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