SF 1974

as introduced - 87th Legislature (2011 - 2012) Posted on 02/21/2012 09:18am

A bill for an act
relating to taxation; modifying withdrawal of lien notice requirements; amending
Minnesota Statutes 2010, section 270C.63, subdivision 15.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2010, section 270C.63, subdivision 15, is amended to
read:

Subd. 15.

Erroneous liens new text begin ; withdrawal of liens and notice to credit agencies in
certain circumstances new text end .

new text begin (a) new text end After the filing of a notice of lien under this section on the
property or rights to property of a person, the person may appeal to the commissioner, in
the form and at the time prescribed by the commissioner, alleging an error in the filing of
the lien and requesting its release. If the commissioner determines that the filing of the
notice of any lien was erroneous, within 14 days after the determination, the commissioner
must issue a certificate of release of the lien. The certificate must include a statement that
the filing of the lien was erroneous. In the event that the lien is erroneous and is not
released within the 14-day period, reasonable attorney fees shall be paid. Damages must
be paid in accordance with section 3.736, subdivision 7.

new text begin (b) In the case of a lien filed by the commissioner or a county lien filed by the county
treasurer, new text end even if deleted text begin a deleted text end new text begin the new text end lien is not erroneous, the commissioner new text begin or county treasurer new text end may
withdraw the lien if new text begin the commissioner or county treasurer determines that:
new text end

new text begin (1) new text end the filing of the lien was premature or not in accordance with administrative
procedures of the commissioner deleted text begin , deleted text end or new text begin county treasurer; new text end

new text begin (2) new text end withdrawal of the lien will facilitate the collection of the tax liability deleted text begin . deleted text end new text begin ;
new text end

new text begin (3) in the case of a lien filed under this section, the taxpayer has entered into an
agreement under section 270C.52, subdivision 2, to satisfy the tax liability for which
the lien was imposed by means of installment payments, unless the agreement provides
otherwise, or, in the case of a county lien filed by the county treasurer, the taxpayer has
entered into an agreement with the county treasurer to satisfy the tax liability for which
the lien was imposed by means of installment payments, unless the agreement provides
otherwise; or
new text end

new text begin (4) upon consent of the taxpayer and the taxpayer's rights advocate, the withdrawal
of the lien would be in the best interests of the taxpayer and the state or, in the case of a
county lien, upon consent of the taxpayer and the county treasurer that the withdrawal of
the lien would be in the best interests of the taxpayer and the county. The county treasurer
must apply the standards used by the taxpayer's rights advocate in determining whether
the withdrawal of a county lien is in the best interests of the taxpayer and the county. A
taxpayer's payment in full of the amount of the lien, including any interest and penalty,
shall be considered to be in the best interests of the taxpayer and the state or county.
new text end

new text begin (c) Any withdrawal shall be applied as if the notice of lien under this section had
not been filed. A withdrawal shall be made by issuing a notice of withdrawal of the lien
to the same office where the notice of lien was filed. A copy of the notice of withdrawal
shall be provided to the taxpayer.
new text end

new text begin (d) Upon written request by the taxpayer with respect to whom a lien was withdrawn
under paragraph (b), the commissioner or county treasurer, whichever is applicable,
shall promptly make reasonable efforts to notify credit reporting agencies, and any
financial institution or creditor whose name and address is specified in the request, of the
withdrawal of the lien. The written request shall be made on a form as the commissioner
or county treasurer may prescribe.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for liens filed after the date of final
enactment.
new text end