Halty – Tips To Avoid Paying Taxes


Halty – Tips To Avoid Paying Taxes

The land value of your property is affected by the value of your taxable estate. If you’ve lived in your home for a long time, you have built up some equity and should be able to sell it for a nice profit. However, if you’ve been paying property taxes on it for years, that equity has dwindled. What can you do to increase your taxable estate?

One option is to pay off your property taxes. But if you’ve been ignoring them, this may not be an option for you. For most property owners, the first lien on their property is a property tax lien. These taxes are collected from the very day your property is bought. So you have to pay them even if you’ve never made any payments in years. If the past is the prologue, where you are now is where you’ll end up.

You can avoid having to pay property tax with an offer in Compromise (OIC). An OIC means you’ll need to agree to a lower amount of tax on the property over a period of time. While this sounds like a good deal, it could be a bad idea if you haven’t been making payments on time. The tax lien can go up in value, just as soon as you make your first payment.

There are other options to consider. Have you considered a property tax lien re-issue? If you’ve held the property for a while and haven’t had any tax problems, a re-issue isn’t likely a problem. However, if you’ve been missing your second or third payments, this may be a better choice for you. Even though you’ll have to pay the higher amount, if you can pay it back faster than the property will appreciate, you’ll be better off.

Another thing you can do to avoid the taxes is to deed the property over once the taxes are past. A deed in lieu doesn’t mean you’ll have to pay taxes. It simply means that you give the house back to the owner and become the legal owner once again. This ensures that you will not be taxed and you can start paying immediately. You can also save if you make a down payment on the house.

No matter what option you choose, your goal should always be to pay off the healty. A tax lien isn’t something that you want to let go of easily. Even if you think you’ll get better rates elsewhere, it never hurts to shop around. You never know what you’ll find when you’re trying to get the best deal possible.