When a person/business does not pay taxes the IRS can put a lien on a house. A contractor can do the same by the way, it’s called a mechanic lien. When a homeowner wants to avoid a foreclosure and do a short sale, there is no money to pay for these put of the proceeds of the sale. The IRS understands this predicament and has a form one can request a release of a lien, this is form 14135. The form is not hard to fill out, it asks for an appraisal report and there needs to be an
offer on the property. There is also a news article on the CA Franchise Tax Board about the same subject: Partial Release of Lien for Short Sales.
So don’t let a tax lien against your property stop you from doing a short sale to avoid foreclosure. Apparently also banks are not unwilling to accommodate the release of the liens. If you need
On a general note: in unincorporated Sonoma County, the sales tax is 9%, this seems high but that’s all perspective, in Netherlands the sales tax is in general 19% and 6% for food, medication and plants/seeds. This is the sa
me for all of Netherlands, there is no difference between cities/provinces AND it is part of the price displayed in the store. When we were traveling from Canada to USA years ago, I thought I was cheated on my change when I bought something…
You will smile when you read this but pretty much in all of Europe and also Canada, sales tax is part of the displayed price. Travel tip to keep in mind by the way 😉
When I have visitors coming from Europe who have never been here before, this is something I explain to them so they don’t have to feel ‘cheated’ on their change. And that the exception is gas, the price of gas includes the sales tax.
Have a most wonderful day.
Mirjam