The Basics
A tax lien is the IRS putting a legal claim on your property because you owe taxes. It is not seizure. That is a levy. A lien is a claim that says the IRS has first dibs when you sell anything. It attaches to your house, your car, your bank accounts, your business equipment. Everything.
How It Happens
The IRS assesses a tax, sends you a bill (usually a CP14), and you do not pay. After that, the lien arises automatically under IRC Section 6321. Then the IRS may file a public Notice of Federal Tax Lien to put the world on notice. That filing is what damages your credit and gums up real estate transactions.
Four Ways to Get Rid of It
Pay the debt in full and the IRS releases the lien within 30 days. Get a discharge to remove the lien from one specific property so you can sell it. Get a subordination so a mortgage lender can jump ahead of the IRS. Get a withdrawal, which erases the public filing entirely, available when you enter a direct debit installment agreement.
The CSED Angle
The IRS has ten years to collect. When the Collection Statute Expiration Date passes, the debt expires and the lien is released. For some taxpayers, the best strategy is running out the clock.
A tax lien is not permanent. It is a problem with multiple solutions, and the right solution depends on your specific situation.