Tax Collection and Tax Sale Procedures

TAX COLLECTION

Taxes, Penalties and Rollover
Taxes are due and payable between the thirtieth day of September and the fifteenth day of January after their assessment in each year. When taxes are not paid before the sixteenth day of January. a three percent penalty is added to the amount due. If taxes remain unpaid after the first day in February, an additional seven percent penalty is applied to the amount due. Finally, if taxes are not paid before the seventeenth day of March, an additional five percent penalty is applied (for a total of fifteen percent) plus a $5.00 cost fee, and the tax bill is considered delinquent. At that time, the County Treasurer issues a tax execution to the County Tax Collector who is charged with collecting delinquent taxes, assessments, penalties and costs for collection.

Execution Notices, Notice of Seizure/Posting, Advertisement
Once a tax bill is delinquent, an execution notice is issued upon the property for which the tax bill is assessed. If the tax bill remains unpaid thirty days after the execution notice is mailed, a Notice of Seizure is issued upon the property. This notice is required to be mailed “Certified Mail, Restricted Delivery.” If the Notice of Seizure is returned to the tax collector unsigned, or not properly signed, the property must be physically posted as seized by the County Tax Collector. If the taxes still are not paid, the property must be advertised in a news publication of general circulation within the county stating that unless taxes are paid, the property will be sold at public auction and where and when the auction will take place. The advertisement includes the delinquent taxpayer’s name and a reference to the county’s map-block-parcel number for each property. The advertisement must be published once a week for three consecutive weeks prior to the sale of the real property. For various legal reasons, not all properties advertised will be sold at the tax sale.

TAX SALE PROCEDURES

THIS INFORMATION IS PROVIDED FOR GUIDANCE ONLY AND DOES NOT CONSTITUTE LEGAL ADVICE

Tax Sale, Forfeited Land Commission Bid
The tax sale is conducted as a public auction and consists of real property only. The opening bid, submitted for the Forfeited Land Commission, will be equal to all delinquent taxes, penalties and costs due plus the current year’s taxes due. This is an open bid, and bidders must use their numbered bidder cards to place bids. If a defaulting taxpayer has more than one item to be sold, as soon as sufficient funds have been accrued to cover all of the defaulting taxpayer’s delinquent taxes, no further items may be sold. 

The successful bidder at the Delinquent Tax Sale must pay legal tender (cash, cashier’s check, certified check, or money order) to the County Tax Collector by 5:00 pm the day of the Tax Sale. The successful bidder will receive a receipt for the purchase money. This receipt must be kept by the bidder, as it will be necessary to receive refunds if applicable. If the successful bidder fails to remit the tax bid amount, he or she is then liable for $500.00 per property, which is collectible by the Tax Collector. 

Upon the real estate being redeemed, the successful purchaser, at the delinquent tax sale, shall promptly be notified by mail to return the tax sale receipt to the Delinquent Tax Collector, in order to be expeditiously refunded the purchase price plus the interest provided in Section 12-51-90.

Redemption Period

The defaulting taxpayer, any grantee from the owner, or any mortgage or judgement creditor may redeem each item of real estate within twelve months from the date of the delinquent tax sale. The redemption amount, payable to the Tax Collector, is the total of the delinquent taxes, penalties and costs along with interest as explained below. If the successful bidder assigns his interest in any real property purchased at the Delinquent Tax Sale before the end of the redemption period, the assignee from the successful bidder shall furnish the Tax Collector with a conveyance, witnessed and notarized, a copy of the bid assignment form may be obtained from the Tax Collector’s Office.

Interest Due on Redemption
Interest is due on the amount of the successful bid at the Tax Sale based on the month during the redemption period the property is redeemed according to the following schedule:

However, in every redemption, the amount of interest due must not exceed the amount of the bid submitted on behalf of the Forfeited Land Commission pursuant to Code Section 12-51-55.

During the fourth quarter of the redemption period, an attorney will perform a title search. If the defaulting taxpayer redeems the property, they are responsible for the cost of the title search. If the property is not redeemed and a tax title is issued, the bidder is responsible for this fee plus Deed Preparation Fee along with deed recording fees.

12-51-150. Official may void tax sales.

If the Tax Collector determines that there has been an error in preparing a particular property for sale, and that error could have hindered payment of the delinquent tax, the Tax Collector must cancel the sale. The successful bidder will be returned the full bid amount, plus interest provided in Section 12-51-150

Tax Title (Deed)

If property is not redeemed from a tax sale within the twelve month redemption period, the Tax Collector shall as soon as possible, issue a tax deed to the successful bidder or their grantee. When your Tax Deed is ready, you will receive notification by mail that your deed is ready to be picked up and recorded. You will also receive a duplicate of the current year tax notice that you will be given 30 days to pay without occurring penalties.

If you receive a Tax Sale Title or Tax Deed to a property, you will be responsible for title search and deed preparation fees, payable at the time you receive your tax deed. You are also responsible for the fees associated with recording your deed in the Register of Deeds office, 12-51-130.

The tax deed is not a warranted deed, but conveys the interest held by the county in the property to bidder. A Tax Title or Tax Deed can be challenged. Banks may not lend money on Tax Titles.  The bidder is responsible for quieting the title. Please consult your attorney for this process.

Any current year taxes due at the time the deed is issued are the responsibility of the Bidder.