What is a Notice of Federal Tax Lien (NFTL)?

The Notice of Federal Tax Lien (NFTL) is a public document that the IRS files to alert creditors, lenders, and other interested parties that it has a legal claim against the taxpayer\’s property. The NFTL is designed to protect the government\’s interest in the taxpayers assets. While the silent lien exists whether or not it is filed publicly, the NFTL puts everyone on notice and can impact the taxpayer\’s credit score, ability to borrow, and ability to sell or refinance property.