Missouri State Tax Lien Checklist
What State Tax Enforcement Means
State tax enforcement occurs when the Missouri Department of Revenue takes active collection measures against a taxpayer who owes unpaid taxes. These measures may include sending collection notices, placing a tax lien on property, garnishing wages, or levying bank accounts.
Enforcement typically begins after the state has issued initial notices of tax due and a deadline has passed without payment or response.
This enforcement represents a formal collection stage. The state views the tax debt as serious and intends to recover the amount owed through legal means.
Common Reasons for Enforcement Actions
The Missouri Department of Revenue issues enforcement actions for several reasons. You may face enforcement for unpaid state income tax, uncollected sales tax, unpaid corporate taxes, failure to file required returns, or unresolved tax debt from prior years. Enforcement often begins after you receive earlier notices requesting payment and have not responded or paid within the specified timeframe.
Consequences of Ignoring Enforcement
Ignoring enforcement notices typically results in escalated collection actions. Wage garnishment may divert a portion of your paycheck directly to tax payments.
Bank account levies represent another collection tool the state can use, or the Missouri
Department of Revenue may file a Certificate of Tax Lien against your property. This legal claim affects your ability to sell, refinance, or use the property as collateral.
Without a response, the tax debt continues to grow as penalties and interest accumulate.
Longer periods of unaddressed enforcement lead to increasingly restricted financial options.
What Enforcement Does Not Mean
Receiving an enforcement notice does not automatically mean criminal prosecution will follow.
State tax enforcement is a civil collection process, not a criminal proceeding. You retain rights
during enforcement, including the right to dispute the amount owed, request a payment plan, or ask for a hearing before the Administrative Hearing Commission.
Enforcement also does not mean the debt expires if you ignore it. The debt does not automatically disappear because time passes or because you do not respond.
Steps to Take When Facing Enforcement
Step 1: Verify the Notice Details
Locate the enforcement notice you received from the Missouri Department of Revenue. Check the notice for the tax type, tax year, the amount claimed due, and any deadline listed. Confirm the notice is addressed to you or your business and note the notice number and department contact information.
Step 2: Gather Your Tax Records
Collect copies of all tax returns you filed for the years listed in the enforcement notice. Gather proof of any payments you made, including bank statements, cancelled checks, or payment receipts. Keep records of any prior notices you received about this tax debt and locate wage stubs or business income records related to the years in question.
Step 3: Review Specific Demands
Read the enforcement notice completely to identify what action the state is taking. The notice may indicate wage garnishment, bank levy, tax lien filing, or other collection methods. Note any deadline for response or dispute, and look for instructions on how to contact the department.
Step 4: Determine Whether to Dispute
Compare the amount listed in the enforcement notice to your own records. Check whether you already paid this debt and confirm whether the tax years listed are correct. Note any discrepancies between what the notice claims and what your records show.
Step 5: Contact the Department
Locate the Department of Revenue contact information on the enforcement notice. Call the department’s tax enforcement or collection division and provide the notice number and your
case details. Ask whether the enforcement action can be paused if you are working toward a resolution and request information about available payment options.
Step 6: Request a Hearing if You Dispute the Debt
Check the enforcement notice for instructions on how to request a hearing. Note any deadline carefully and submit a written request for a hearing to the address provided on the notice.
For sales and use tax matters, you must file a petition with the Administrative Hearing
Commission within 60 days of the date the Assessment of Unpaid Tax was mailed or delivered.
Include copies of supporting documentation, such as proof of payment or filed returns.
Filing a protest under Missouri law suspends the collection process during protest review, though interest continues to accrue on the balance due. Appeals to the Administrative Hearing
Commission do not automatically suspend collection actions, but you can ask the department whether enforcement will be paused while your appeal is pending.
Step 7: Explore Payment Options
Ask the Department of Revenue whether you can set up an installment agreement for the debt.
Inquire about the terms, payment amount, and length of the plan. Ask whether entering a payment plan will pause wage garnishment or bank levy.
The department offers online installment agreements through its MyTax Missouri portal.
Payment plans allow you to pay the debt over time instead of in a lump sum.
Step 8: Document All Communications
Keep a record of every phone call, email, or letter you send to or receive from the Department of
Revenue. Note the date, time, person spoken with, and summary of what was discussed. Save copies of all notices, payment confirmations, and correspondence in a single file.
Step 9: Make Payments According to Agreement
Make any payment due according to the agreed payment plan or notice deadline. Pay through the method specified by the Department of Revenue and keep receipts or confirmation of payment. Use certified mail if paying by mail, so you have proof of delivery.
- State enforcement actions and notices
- Payroll tax debt review and resolution
- Penalty and interest reduction options
- Payment plans and compliance solutions
- Representation before state tax agencies
Step 10: Follow Up on Status
After 30 to 60 days, contact the Department of Revenue to confirm the status of your case. Ask whether the enforcement action has been suspended or resolved and request written confirmation of any payment plan, hearing decision, or closure of the case.
Understanding Tax Liens
A Certificate of Tax Lien is a legal claim against your property, not ownership. Filing may occur with the recorder of deeds in the county where you reside or own property.
Once filed, it attaches to real or personal property you own or acquire after the filing. Circuit
Clerk filing gives the lien the effect of a default judgment and allows the Department to collect through garnishment, executions, and levies.
Under Missouri Revised Statutes Section 143.902, a Certificate of Tax Lien expires 10 years after filing unless sooner released or discharged. Refilling may occur one time before expiration for an additional 10 years. A Satisfaction or Discharge of Tax Lien will be issued within 45 to 60 days after debt resolution through payment in full or documentation showing you do not owe the debt.
Garnishment Authority and Limits
The Missouri Department of Revenue is legally authorized to garnish up to 100 percent of certain assets. This authority applies primarily to bank levies and non-wage assets.
Wage garnishments remain subject to federal Consumer Credit Protection Act limits and
Missouri garnishment exemptions under RSMo Section 525.030. For most wage garnishments, the maximum is 25 percent of disposable earnings or the amount exceeding 30 times the federal minimum wage, whichever is less.
Missouri residents who qualify as heads of family receive additional protections limiting garnishment to 10 percent of disposable earnings for most debts. You can request a hardship review if garnishment creates financial hardship by submitting a Garnishment Hardship
Application with required financial documents.
Settlement Options
Missouri Department of Revenue offers an Offer in Compromise program that allows qualifying taxpayers to settle unpaid tax accounts for less than the full amount owed. The program evaluates whether the settlement serves the best interests of both the State of Missouri and the taxpayer.
You must typically explore payment plans and other options before submitting an Offer in
Compromise. Application forms and instructions are available through the department’s website.
Facing State Enforcement or Payroll Tax Issues?
If you’ve received a state tax notice and aren’t sure how to respond, we can help you review your options and next steps.
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