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Guiding You Through The Legal Process

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What is a state tax execution?

On Behalf of | Jun 17, 2021 | Tax Debt

While many Georgia residents worry about their federal income tax, it is easy to overlook the fact that state taxes play a big part in most individuals’ financial lives as well. In some cases, taxpayers may keep up with their federal taxes better than their state taxes, possibly thinking that federal taxes are more important. In other cases, parties may be unable to keep up with either type of tax because of financial struggles. Unfortunately, you and many other taxpayers could face collections from both federal and state agencies.

If you owe back taxes to the state of Georgia, you may have received notice of a state tax execution. This notice may have seemed frightening and confusing, and it certainly is something that needs addressing properly. Essentially, a state tax execution is a tax lien that the Georgia Department of Revenue has issued against you.

What can happen?

Like with most tax liens, the government can place a tax execution on any property held in your name. In some cases, this lien could be filed without notice. Nonetheless, it remains attached to the applicable property until the taxpayer handles the tax matter or until he or she has met other stipulations.

When can a lien be removed?

Fortunately, the department can release a state tax execution or lien in multiple scenarios including:

  • The DOR could withdraw the lien if you believe a mistake has occurred and request a withdrawal. If the department finds evidence that it applied the lien to your property in error, the department will remove the lien.
  • If you have taken steps to address the lien, such as by paying your owed tax balance or handled the matter in another way approved by the DOR, the department will cancel the lien.
  • The department may release the lien if it has expired or, in other words, the statute of limitations has passed.

Facing a state tax execution can certainly feel overwhelming. However, as this information shows, the DOR could make a mistake and file a lien in error, or you may have options to take advantage of in efforts to have the lien released. If facing a lien, gaining information on the possible courses of action available to you for addressing the matter may help you work toward an end to this difficult ordeal.