tax leins

I live in Wisconsin and have a $12,000 back tax debt. I have tried to pay the debt with offer of compromise. Which was rejected. Yesterday I received a notice of federal tax lein in the mail. 2 years ago I was in a traffic accident in which I was not at fault. I will soon be coming into a sum of money from that accident. Will the tax lein allow the government to take their money right off the top or will I be able to save my house from forclosure?

The IRS could take the money right off the top. I suggest that you try and work out a payment arrangement with the IRS. First get IRS Publication 594, The IRS Collection Process, which you can download at the IRS site at: http://www.irs.ustreas.gov/forms_pubs/index.html. The publication tells you your options and what may happen in your situation.

I have about 30-60 days before I get any money. Should I try another offer of compromise? I am going to need to make contact with them soon.

Whether you should try for another Offer In Compromise, depends on why they refused your offer last time. If you have some reason to believe this time would be different, try it. Otherwise don't.

I suggested above, that you try to arrange payments with the IRS.