What Is a Tax Warrant in New York?

A tax warrant in New York is the equivalent of a legal judgment against a taxpayer who owes taxes to the State. In order for New York State to have the legal authority to pursue most collection actions against the taxpayer, it must first file a tax warrant. Once filed, the warrant serves as a perfected lien on the taxpayer’s real and personal property and ensures that the State will get paid ahead of subsequent creditors. New York State tax warrants have a significant impact on your assets and credit, so here are a few things you should know:

1. A tax warrant is public information.

   Tax warrants in New York are public records on file at the county clerk’s office and with the Secretary of State. They can be found by anyone searching the database on the Department of State’s website. The Tax Department also publishes a list of the Top 250 business and individual warrants, which is updated monthly.

2. Advance notice of the tax warrant is not required.

   The State does not give notice to taxpayers until after the warrant is filed. However, taxpayers will receive multiple notices regarding their tax deficiency before the issuance of the warrant.

3. The State does not need a tax warrant for income execution.

   New York can take up to 10% of the taxpayer’s gross wages, assuming the taxpayer earns above a certain threshold, via an income execution. However, a tax warrant is not required prior to entering into an income execution.

4. There is a statute of limitations for filing a tax warrant.

   The statute of limitations is 20 years on collections and begins on the first day that a tax warrant could have been

5. The tax warrant is valid until resolved or expired.

   To extinguish the tax warrant, the underlying tax liability must be completely satisfied, or the warrant must expire. Tax warrants are good for 10 years against real property, and 20 years against personal property.

6. A tax warrant remains on your credit report.

   Even if you paid off the taxes you owe, the warrant remains on your credit report for 7 years.

7. Taxpayers cannot appeal.

   There are no collection appeal rights against a New York State tax warrant.

Tax warrants in New York have severe consequences. It’s best to address tax problems before a warrant is filed, but if you failed to do so, there are several remedies available after the warrant is filed.

We have extensive experience helping clients with tax warrants, levies, income execution and seizures. If you owe back taxes, contact us for help with your matter.