How Can I Get a Lien For Someone Else's Taxes Released From My Property in Escrow?

If a delinquent taxpayer has some interest in your property, or the IRS (sometimes mistakenly) thinks that is the case for some reason, the tax code provides for a deposit mechanism that will allow you to dispute the attachment of the lien while the sale goes through.

The release or discharge of property from a federal tax lien is governed by 26 U.S.C. § 6325, entitled, “Release of lien or discharge of property.” Paragraph (b)(4) of that section, entitled, “Right of substitution of value,” provides for a request that can be made with a deposit of the equity […]