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WHAT IS A TAX WARRANT IN OKLAHOMA? ANSWERED BY ATTORNEY.

Posted by Ryan Jones | Feb 20, 2019 | 0 Comments

What is a tax warrant in Oklahoma? A tax warrant equals a tax lien. Thankfully, a tax warrant differs from an arrest warrant. Unless you committed blatant tax fraud, you can probably breathe easy! However, tax warrants can still pack a punch. To avoid a bad outcome, you should take note of the following threats posed by an Oklahoma tax warrant.

OKLAHOMA TAX WARRANTS CAN TIE UP YOUR PROPERTY AUTOMATICALLY.

Based on Oklahoma title examination standards, when the Oklahoma tax commission files a tax warrant with the county clerk, it becomes a lien against your property. In other words, the tax debt “attaches” to your property. Therefore, the property likely cannot sell until the tax debt gets paid. In addition, the lien can prevent you from taking out a second mortgage or loan against the property. The same thing can happen due to a federal tax lien.

TAX WARRANTS CAN LEAD TO FORECLOSURE ON YOUR PROPERTY.

In certain circumstances, the Oklahoma Tax Commission (or the IRS) can foreclose on your property to satisfy a tax debt. A tax lien, also called a tax warrant, sets the stage for a foreclosure lawsuit. So, if you want to avoid foreclosure, take care of tax liens as quickly as possible. Due to laws protecting the state and federal government, tax creditors possess special rights. For this reason, tax creditors pose a unique threat to your property. If you wait too long, you might forfeit certain rights and privileges.

TAX WARRANTS CAN LOOK BAD ON YOUR RECORD.

No, tax warrants don't create a criminal record. But they do appear in the public record, allowing employers, landlords, and other interested parties to learn of your personal financial affairs. With a little digging, most interested persons can discover outstanding tax warrants or liens. They can also discover whether those debts were ultimately satisfied. By taking care of your tax warrant in the proper manner, you can limit damage to your public image.

TAX WARRANTS CAN LEAD TO GARNISHMENT OF WAGES AND BANK ACCOUNTS.

A tax warrant goes hand-in-hand with a judgment for tax debt. A judgment forms the basis for garnishment. Creditors use garnishment to suck money out of paychecks and bank accounts. This can occur with or without your knowledge. Therefore, do not assume that a tax warrant simply floats around in the legal sky, lacking any real consequences. The warrant (or lien) can quickly become a real problem when creditors begin the garnishment process.

WHAT TO DO ABOUT TAX WARRANTS IN OKLAHOMA.

If at all possible, pay off the tax debt immediately. Tax creditors are not to be trifled with. Unless you have a very strong legal reason for contesting the debt, any attempt to avoid the debt will likely end poorly. However, in some cases, immediate payment is impossible. If you cannot pay the debt all at once, offer to make monthly payments. Come up with a monthly figure that suits your budget, and make a compelling argument to the creditor.

If the creditor refuses a payment plan, investigate alternative financing options. Take out a loan and use the money to pay off the tax debt. Rather than making monthly payments to the tax creditor, you will make monthly payments to the new creditor. In this way, you can achieve the same end result: making monthly payments to satisfy the tax debt. The tax warrant disappears, and you continue paying your new lender over time.

In some cases, you may wish to contest the validity of the tax warrant. Perhaps the government miscalculated your taxes, charged you twice, or billed the wrong person. If you believe the debt can be invalidated, contact an attorney. However, before refusing to pay the debt, allow a legal profession to review your case and explain your options. If you try to avoid the debt and fail, you will end up in a far worse position.

TO SUMMARIZE, WHAT IS A TAX WARRANT IN OKLAHOMA? IT'S NOT A CRIMINAL THING, BUT IT'S STILL A BAD THING. SOMETHING THAT DEMANDS YOUR TIME, ATTENTION, AND FOCUS.

I would be happy to provide legal representation related to tax warrants and liens. You may contact meonline, or give me a call at 405-888-2744.

About the Author

Ryan Jones

I focus my practice in property and real estate law.  This means that if you own or lease something, I can help you.  No attorney can specialize in everything. When necessary, I consult other legal specialists to ensure that you receive the best possible service no matter what areas of law we e...

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