If the IRS is saying that they will put a lien on your property, it sounds like a lot of time has passed - the IRS does not threaten liens unless they have not gotten satisfactory responses from you earlier.
First, in the previous correspondence, did you send the IRS a nice letter explaining why it was a mistake to send that 5329, along with a corrected 5329 (perhaps all blank)?
What you may need to do is get an Enrolled Agent or CPA to represent you to the IRS, to explain why you don't owe this amount.
An Enrolled Agent - like many of the TurboTax employees here in the Community - are allowed to represent any taxpayer (individual, corporate, partnership or trust) on any tax matter before any office of the IRS.
You can find a local Enrolled Agent here: "Find a Tax Expert".
If you sign a limited Power of Attorney with the EA (or CPA), then you can hand the IRS communication process over to them.
Just explain the situation to him/her and let them take over the letter-writing.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
