Internal Revenue Service Centralized Lien Processing

(CLP)

NACRC Conference Portland Oregon

July 15, 2011

Presenter

Scott Lindsey - Program Manager, Campus Compliance Services

Scott has oversight responsibility

for key National programs including Centralized Liens, Centralized Collection Case Processing, Centralized Insolvency and Trust Fund Penalty Compliance

CLP

Located at the Cincinnati IRS Campus in Covington, KY.

100 Employees Mailing Address: Internal Revenue Service Centralized Lien Processing P.O. Box 145595 Stop 8420G Cincinnati, OH 45250-5595

What we do File Notices of Federal Tax Liens,

Releases, and Lien related documents with Recording Offices in all 50 states and territories.

Handle Lien related inquiries from Taxpayers (and their representatives), Mortgage Companies, Courts, Recording Offices, and other parties of interest.

Key Personnel

Adrian Gonzalez – Acting Compliance Director

Joe Budd – Operations Manager

Teresa Bellamy -- Department Manager, States Teams

Joan Flach – Department Manager, Field Resource Teams

Nancy Booker – Revenue Officer Advisor

Volumes

Answer between 3,000-3,500 telephone calls per week

Send approximately 22,000 documents per week for filing (approximately 16,000 of which are new liens)

Service 3,583 different recording offices

How do Liens come to the Centralized Lien Processing?

Liens come daily to CLP electronically from employees in our Automated Collection Sites (ACS) or from our Revenue Officers in local IRS offices.

CLP prints all the documents in the system on Tuesday and Thursday of each week and mails them on Wednesday and Friday.

Resources The best way to contact CLP is to call us

on our toll-free recorder hot line: 1-800-913-4170

Each state is assigned to a specific work team that has “end-to-end” accountability for the states they serve.

Publication 1468 is your handbook for questions related to the processing of Notices of Federal Tax Lien and related documents.

Releases

IRS Liens “self release” in 10 years unless IRS “re-filed” the Lien.

When all periods on a Lien are satisfied the release is automatically generated.

IRS is required by law to release a Lien within 30 days of being satisfied.

Self-Releasing Liens

If a Notice of Federal tax Lien has not been refiled by the latest date shown in column “e” of the lien, that lien is released. No further document is necessary. The Notice itself operates as a release of the lien.

Withdrawals

Per IRC 6323(j), a Withdrawal document removes the “Notice” of Federal Tax Lien

Prior to March 2011, IRS only withdrew Notices of Federal Tax Lien in limited circumstances

In March 2011, IRS Policy changed to permit the filing of a Withdrawal after the Notice of Lien had already been released

Walk-Ins If a taxpayer fully satisfies a lien by

payment at a field office, IRS must provide an immediate release to the taxpayer.

CLP generally only pays for the documents we mail for filing. However, if the recording office elects, it may accept a Form 3982 voucher and submit it to CLP for payment.

If there is any doubt about the authenticity of a lien document presented for recording, please call our office immediately.

Potentially Lost Liens

We ask that you record lien documents upon receipt and return them to IRS promptly.

We may contact your office if the recording information for each lien is not present when the Billing Support Vouchers are returned. If there is no recording information for

a lien sent but no record of it being returned after 60 days.

If there is no recording information when we are about to release a lien.

Misdirected Liens

If you receive a lien with an address that is not in your county, please file it.

If you think we filed it in the wrong county, please file the lien. If you would, please attach a note when returning the lien that the address on the lien is not in your county.

Payment for Liens

Thank you for helping IRS to comply with the Debt Collection Improvement Act which requires payment by electronic funds transfer.

To date, most recording offices have had no or only minor problems and are reporting this speeds up cash flow to their offices.

Payment for Liens (cont’d.)

The Internet Payment Platform (IPP) may help your office to track payments by accessing your payment information on line or by receipt of an email confirming each payment. To sign up, go to IPPgroup@bos.frb.org

If you are changing your fees, please notify our office 30 days in advance

Redaction of SSNs

IRS now partially redacts all but the last 4 digits of the SSNs (XXX-XX-6789).

The last 4 digits may not be redacted.

Lien documents, as presented by the IRS for filing, must be readily available to the public.

Offices that have fully redacted must have a process in place to view the lien document as filed by IRS.

Thank You!

Thank you for your continued efforts to work cooperatively with the CLP Operation and assisting IRS in serving America’s taxpayers.

Thank you for the opportunity to come to Portland and meet with you today.

Contact Information CLP toll-free recorder hot line:

800-913-4170 Joe Budd, CLP Operation Manager:

859-669-3691 or Joseph.W.Budd@irs.gov

Scott Lindsey, Program Manager: 901-546-2836 or Vernon.S.Lindsey@irs.gov