Can a state tax lien be removed from credit report?

Yes. You need to contact the three credit reporting agencies and request this. It would probably come off of the credit report eventually but if you want it to come off sooner you'll have to contact them. This process isn't always easy or quick.

I agree with the previous attorney from the standpoint that this will not be easy. However, there is a huge difference between a lien "release" and a lien "withdrawal." I've attached an excellent article explaining the difference and the consequences.