What is a Tax Warrant?
(The term Taxpayer
in this document refers to sole proprietors, partnerships, corporations, and
Limited Liability Corporations)
- A tax warrant is a document that the department uses to
establish the debt of a taxpayer.
- When a tax warrant is filed with the Superior Court in the
county where the taxpayer owns real or personal property, a lien is created.
- The lien encumbers all real and personal property used in
the business and owned by the taxpayer.
What are the Effects of a Filed Lien?
- All real and personal property used in the business and
owned by the taxpayer is encumbered by the state.
- The tax lien becomes public record. Some local newspapers
and business journals list all Superior Court filings. Some filed liens are
also displayed on the Department of Revenue’s internet website.
- It is under this lien authority that the Department can
enforce collections of the debt.
Examples of enforced collections include: