State Tax Lien

Discussion in 'Credit Talk' started by 1234567cal, Jul 11, 2011.

  1. 1234567cal

    1234567cal New Member

    I had a sales tax license for a business I was working on in high school. I ended up not making any sales or pursuing the idea. I moved several times, so I wasn't getting notices from the state DOR. If you forgot to file 0 sales or cancel your sales tax license they assess an arbitrary 4 figure amount. By the time I realized this, a tax lien had been assessed. I went to the state capitol to the DOR office and explained the situation. They reduced the tax liability to 0 (since I never owed it - I just forgot to file 0). It now appears as dismissed 1.5 years later, but it is causing me huge issues.

    Is there anyway to have this removed since I never incurred any sales tax liability?

    Thanks..
     
  2. JoshuaHeckathorn

    JoshuaHeckathorn Administrator

    I've seen this situation in the past. You need to dispute this directly with the state and get them to actually "expunge" the lien. The debt was never owed in the first place, so there shouldn't be any record of a tax lien. Then you can dispute the listing on your credit report through the CRAs as incorrect, and they should remove it once they can't verify it anymore.
     
  3. 1234567cal

    1234567cal New Member

    Thanks for the help! I tried calling the state once, but the amount of hold time and the people on the other end not understanding what I was talking about caused me to give up. I'll have to give this a go and have them expunge it so I can file a dispute.
     
  4. JoshuaHeckathorn

    JoshuaHeckathorn Administrator

    It's going to take a lot of effort and perseverance, but it'll be worth it. Dealing with any government agency is generally a drag and will suck a huge amount of time, but keep at it until you reach the right people that understand your situation and know how to help. There's no reason you should be stuck with a record of this tax lien on your credit reports.
     

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