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 mpiinc
Joined: 01 Sep 2006
Posts: 1
1.26 Dollars($)
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 Posted: Fri Sep 01, 2006 8:43 am Post subject: Can i refinance my home which is filed for Federal tax lien? |
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| Can I refinance my home even though the IRS filed a Notice of Federal Tax Lien for taxes due and owing by my company. The Notice of tax Lien references the Federal Employee Identification Number and not my own social security, although the Notice contains both the name of the company and my name? |
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Lennon
Guest
0.10 Dollars($)
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| Posted: Fri Sep 01, 2006 3:30 pm Post subject: |
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Hi,
There is an option called Lien Subordination, where if IRS receives its full proceeds from the refinance of the property then lien subordination is granted.
By this method the IRS grants the refinancing lender have the priority interest ahead of itself.
Thanks |
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Ryden
Guest
0.10 Dollars($)
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| Posted: Fri Sep 01, 2006 4:03 pm Post subject: |
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I would like to add that the reference to your federal employee identification number does not have any different meaning to what it would mean if the social security number is used.
As your company is involved that is why the employee number has been given.
Ryden |
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jameshogg
Joined: 20 Dec 2005
Posts: 987
Location: nevada
122.97 Dollars($)
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| Posted: Fri Sep 01, 2006 4:36 pm Post subject: |
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Hi,
No Ryden, the actual reason the EIN is listed instead of the SSN is because of the problem of identity theft and privacy problems involved with listing of the SSN on publicly available documents.
The IRS decided to remove the SSN from such notices after legislation for removal of SSN from public documents was introduced in 2004 in the House of Representatives.
Thanks |
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Craig
Guest
0.10 Dollars($)
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| Posted: Fri Sep 01, 2006 5:00 pm Post subject: |
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Hi,
IRS gets a secured interest because of the Federal Tax Lien on the property.
And many lenders might not agree to refinance until and unless they would be able to get a security interest more than the lien placed by IRS.
So refinance is possible by way of subordination but you will have to shop around for any lender who will agree to refinance. |
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Jessica
Community Mentor
Joined: 08 Jun 2004
Posts: 673
Location: OHIO
117.33 Dollars($)
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| Posted: Fri Sep 01, 2006 10:10 pm Post subject: RE: How to refinance if property has tax lien |
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Hi,
You can request for a Subordination of Lien from the IRS. The Subordination will not remove the Federal Tax Lien from the property. But it will lower the priority if any other lien against the same.
The lien, however, remains, though it holds back the sale of the property and any other property owned by the taxpayer. This Subordination will help you to take a refinance loan and repay it in time after which you need to pay the taxes due.
In case you are interested to refinance, visit our section on this topic for some idea on how the process works .
Regards,
Jessica.
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