Legal Question in Real Estate Law in Massachusetts
government and taxes
ok im not very educated on the issue but was hopeing you could help me with this. My father has a building that is half his and half his brothers. My father and his brother used to be partners but after some financial problems involving his brother he took one company and his brother took the other. Since then his brother has gotten into more trouble with the government over payroll taxes for about 400,000 dollars. The have put a lean on his brother and I guess he is making payments but i still am pretty sure he is not paying the taxes on his payroll.My question is if the amount grows and exceeds his half of the building can the government take my fathers half of the building?
2 Answers from Attorneys
Re: government and taxes
It also depends on how the building is owned - ie, if owned as "joint tenants" and your uncle dies first, before the IRS does anything, your father gets everything, the IRS nothing. Reverse the death order, your father's family/heirs get nothing. If held in a separate entity, ie trust corporation, llc, more facts are needed.
I'm not sure the IRS would actually levy and execute on a partial interest - at least not before exhausting your uncle's other assets....
Re: government and taxes
Assuming your father has no liability the IRS with respect to the lien, then the IRS can only take your uncle's interest. The IRS can then petition for partition and force the sale of the building. This analysis is based on your father owning his interest as a tenant in common with your uncle or uncles. The best way forward may be for your father to purchase your uncle's interest to avoid being forced to sell the property.
Please feel free to contact me if you have more questions.
Related Questions & Answers
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
