IRS Tax Lien Help: Release, Withdrawal & Discharge
By Chardley Point Du Jour, Enrolled Agent
Last updated: October 2026
What is a federal tax lien?
A federal tax lien is the government's legal claim against your property when you don't pay a tax debt. It attaches to your assets, including real estate, personal property, and financial assets, after the IRS assesses the tax, sends a bill, and the balance goes unpaid.
The IRS may file a public Notice of Federal Tax Lien to alert creditors that it has a claim. That can make it harder to sell or refinance property or get credit.
A lien is not the same as a levy. A lien is a claim that secures the debt. A levy actually takes property, such as money from your bank account or paycheck. If you're facing a levy, see our IRS levy help page.
How to get rid of an IRS tax lien
Release. Per irs.gov, paying the tax debt in full is the best way to get rid of a lien, and the IRS releases the lien within 30 days after the debt is paid.
When full payment isn't realistic, the IRS has other options that reduce a lien's impact:
- Discharge: removes the lien from a specific piece of property, for example so you can sell a house. See IRS Publication 783.
- Subordination: doesn't remove the lien but lets another creditor move ahead of the IRS. This can make it possible to refinance or get a mortgage. See IRS Publication 784.
- Withdrawal: removes the public Notice of Federal Tax Lien so the IRS isn't competing with other creditors, though you still owe the debt. You apply with Form 12277.
Lien withdrawal under the Fresh Start options
The IRS describes two withdrawal options that came out of its 2011 Fresh Start initiative:
- After release: you may qualify to have the notice withdrawn after the lien is released if your liability is satisfied and you've been compliant for the prior three years in filing (all individual, business, and information returns) and are current on estimated payments and federal tax deposits.
- With a direct debit installment agreement: you may qualify if you are a qualifying taxpayer (individuals, businesses with income tax liability only, and out-of-business entities with any type of tax debt), you owe $25,000 or less, and your direct debit installment agreement will pay the balance in full, along with the other IRS conditions. If you owe more than $25,000, the IRS says you may pay the balance down to $25,000 before you request withdrawal.
Withdrawal is often the goal for business owners and homeowners. Release shows the debt was satisfied, but withdrawal removes the public notice itself.
Who should get help with a tax lien?
You received a notice that a Notice of Federal Tax Lien was filed or is about to be filed.
- You're trying to sell, refinance, or borrow against property with an IRS lien on it.
- You owe close to $25,000 and want to structure a plan that qualifies for withdrawal.
- You paid the debt but the public notice is still hurting your business.
How PDJ Tax Experts helps
PDJ Tax Experts is led by Chardley Point Du Jour, an Enrolled Agent licensed by the IRS to represent taxpayers in all 50 states. We:
- Confirm the balance by year with IRS transcripts, and check whether penalties can be removed to bring it down.
- Pick the right tool for your goal: release, discharge for a sale, subordination for a refinance, or withdrawal.
- Set up a qualifying payment plan, such as a direct debit installment agreement, when withdrawal is the target.
- Prepare the forms and documentation (Form 12277, or the discharge and subordination applications) and work the request with the IRS.
- Protect your rights by meeting appeal deadlines when a lien notice is filed.
Local and nationwide IRS resolution help
PDJ Tax Experts has its office in Pembroke Pines, FL, and serves Fort Lauderdale, Broward County, South Florida, and all 50 states. Our bilingual team offers service in English and Spanish. Appointments are virtual, by phone or secure video.
Frequently Asked Questions
Do you help taxpayers in Broward County?
Yes. Our office is in Pembroke Pines, FL. We help taxpayers in Fort Lauderdale, Broward County, South Florida, and all 50 states through virtual appointments by phone or secure video. Our bilingual team offers service in English and Spanish.
How long does it take the IRS to release a tax lien?
According to the IRS, it releases a lien within 30 days after the tax debt is paid in full.
What is the difference between lien release and lien withdrawal?
A release ends the lien once the debt is satisfied. A withdrawal removes the public Notice of Federal Tax Lien so the IRS isn't competing with other creditors. Withdrawal can happen in certain cases even while you are still paying, such as under a qualifying direct debit installment agreement.
Can I get a lien withdrawn if I owe $25,000 or less?
Possibly. The IRS says qualifying taxpayers who owe $25,000 or less and are on a direct debit installment agreement that will pay the balance in full may request withdrawal using Form 12277, if other conditions are met.
Can I sell my house with an IRS lien?
Often yes. A certificate of discharge can remove the lien from a specific property, usually with sale proceeds going to the IRS. IRS Publication 783 explains the process.
Can I refinance with an IRS tax lien?
Subordination may let a lender move ahead of the IRS, which can make refinancing possible. IRS Publication 784 explains eligibility.
Is a tax lien the same as a levy?
No. A lien is a legal claim that secures the debt. A levy is the actual seizure of property such as wages or bank funds.
Talk to an Enrolled Agent about your case
Book a free 15-minute discovery call or call (954) 774-5275. We look at your situation and give you a quote before any work starts. PDJ Tax Experts is based in Pembroke Pines, FL, and works with clients in all 50 states by phone, secure video, and an encrypted client portal.
PDJ Tax Experts LLC (Point Du Jour Tax & Associates) is a private tax firm and is not affiliated with the IRS. This page is general information, not tax or legal advice. Results vary by case.