Does the Tax lien interfere with the transfer of property?
Besides the fact that a tax lien can severely hurt the taxpayer’s credit standing, it can also interfere with the transfer of any property, especially where a paper title is necessary. This includes real estate and personal property, which is subject to recorded security agreements or UCC filings. The tax lien can either prevent a property from being transferred or it will follow the transferred property. Regardless if the transfer is up for consideration, gratuitous or even fraudulent, a valid retroactive disclaimer under state law of the beneficiary and even under a will won’t prevent the tax lien from attaching to the disclaimed property.
