The short answer
A release ends the lien after the debt is paid. A withdrawal removes the public Notice of Federal Tax Lien, as if it were not filed, but you may still owe the debt. Ask for withdrawal with Form 12277. One path: owe $25,000 or less, pay by direct debit, and make 3 payments in a row.
Words to know
- Federal tax lien
- The government's legal claim on your property when you don't pay a tax debt.
- Notice of Federal Tax Lien
- A public notice the IRS files to tell creditors it has a claim on your property.