How to Fix Tax Liens

• 1). Pay your tax liability in full---this is the fastest method to fix tax liens. When the tax lien is paid in full, the government must release its lien in your property.
  
  
• 2). Contact the IRS and discuss payment arrangements by visiting their website at www.irs.gov or by calling 1-800-829-1040. If your state government has a tax lien against you, you will need to check with your State Department of Revenue. Access the individual contact numbers for each state at http://www.irs.gov/taxpros/article/0,,id=100236,00.html.
  
  
• 3). Ask for an Offer in Compromise. This proposal is a tax settlement agreement between you and the IRS where you pay a portion of the tax liability and the IRS agrees not to pursue the remaining balance. Download forms 656 or 656-L at www.irs.gov.
  
  
• 4). Sell or refinance your property. When you sell it or refinance it, the tax lien will have to be paid or settled. The settlement agent handling the sell or refinance will handle submitting the money to the IRS so that the tax lien can be satisfied.