IRS Tax Lien - lien belogs to previous owner

[Bill Schrimpf]

Questions—Can the owner of a property discharge an IRS tax lien against a property if the lien was related to the previous property owner debt?  Did the previous owner potentially commit any crimes by selling the property and not disclosing the liens?

My client bought a vacant lot about 18 months ago in an off-market transaction using a quit claim. He did not do a title or records search. He is now trying to sell the lot. The person that previously owned the lot, owed the IRS about $123,000 and the IRS placed a lien against the property.  The transaction appears to be an arms-length transaction.  

[Account Closed]

Quote from @Bill Schrimpf:

Questions—Can the owner of a property discharge an IRS tax lien against a property if the lien was related to the previous property owner debt?  Did the previous owner potentially commit any crimes by selling the property and not disclosing the liens?

My client bought a vacant lot about 18 months ago in an off-market transaction using a quit claim. He did not do a title or records search. He is now trying to sell the lot. The person that previously owned the lot, owed the IRS about $123,000 and the IRS placed a lien against the property.  The transaction appears to be an arms-length transaction.  

Off market, no title report, quit claim deed, no escrow.
Well , I hope he got a deal. He outsmarted himself.

He thought he was saving a few thousand dollars but it could cost hm far more than that, plus time, to clean up the mess.

Seems he should have called you to represent the purchase. But, he "saved" paying you a fee. Lol

What he can try is calling an enrolled agent to see if they have any ideas or maybe try to refinance the property, through title and escrow and see if they can get the lien removed. He will have to search around, most title companies won't touch this.