There are many different types of taxes that you may be liable to pay based on your circumstances and the assets that you own such as taxes on real estate, personal property and income related taxes. If you fail to pay any of these tax liabilities there are various actions that can be taken by law in order to try and recover the tax debts that you owe. This includes a tax lien, which is a lien that is legally imposed on a property to try and ensure you pay the taxes that you owe.
It is important to bear in mind that a tax lien can be imposed by both federal and state governments for the non-payment of various taxes that you are liable for. When a tax lien is applied it can affect some or all of the assets you own as well as money such as wages or bank accounts. The exact structure and details of a tax lien can vary based on factors such as the type of tax you owe, your financial situation, the assets you own and other factors.
A tax lien can make life very difficult financially because it means that the government has a rightful claim to your assets. It can also have a negative effect on your credit status and report, which is why it is important to try and avoid these by either paying your taxes on time or speaking with a tax official/accountant with regards to possible solutions such as an installation plan where you can pay the tax you owe in affordable chunks.