Tax Debt Relief

Cash-Out Refinance for Tax Debt:
Pay IRS & State Tax With Home Equity

IRS tax debt carries 8%+ interest plus penalties — and the IRS can seize your home with a federal tax lien. A cash-out refinance pays off your tax debt, releases the lien, and replaces high-rate IRS interest with today's mortgage rates. Dream Financial Management since 1994.

Pay Tax Debt With Equity — FreeCall (213) 536-9372

Why Use Home Equity to Pay Tax Debt?

The Cost of Unpaid Tax Debt

IRS Failure-to-Pay Penalty 0.5%/month
IRS Interest Rate (Q3 2026) 8%+
Federal Tax Lien Blocks sale/refi
Bank Levy / Wage Garnishment Asset seizure risk
Total effective annual rate 14%+

Benefits of Paying Tax Debt With a Cash-Out

  • Replace 14%+ effective IRS rate with 6-7% mortgage rate
  • Release federal/state tax lien from your property
  • Stop IRS collection: levies, garnishments, asset seizure
  • One monthly payment instead of IRS installment + mortgage
  • Mortgage interest potentially tax-deductible

Pay Off Tax Debt With Home Equity

Dream Financial Management helps homeowners use cash-out refinancing to resolve IRS and state tax debt — releasing liens and stopping collection. Since 1994.

Resolve Tax Debt With Equity — FreeIRS Lien Removal Guide