Georgia Department of Revenue
Delinquent
Tax
Georgia Department of Revenue
GLOSSARY OF TERMS
• alias execution --(O.C.G.A. 48-3-7)
• calendar week -- Sunday to Saturday
• defaulter -- delinquent taxpayer, or no
return filed
• execution -- the process and/or form used
for levying on and selling enough of a
delinquent taxpayer’s property to satisfy
unpaid taxes.
Georgia Department of Revenue
• execution docket — tax commissioner’s execution docket
or GED in clerk of superior court’s office
• fieri facias (Fi. Fa.) — means that you “cause it to be
done.” A judicial writ directing the sheriff to satisfy a
judgment from the debtor’s property. Applies to personal
and real property. A term used interchangeably with
execution.
• grantee — the person to whom property is transferred (the
buyer).
• grantor — the person who transfers the property to
another (the seller).
• in personam — the legal process directed against a
person.
• in rem — the legal process directed against property.
Georgia Department of Revenue
• legal description — a detailed description of real
property.
• levy — the process whereby a sheriff or other state
official empowered by writ or other judicial directive
actually seizes, or otherwise brings within his or her
control, a delinquent taxpayer’s property to satisfy the
judgment.
• lien — a claim, encumbrance, or charge on a taxpayer’s
property to obtain payment of overdue taxes.
• life estate — an estate whose duration is limited to the
life of the party holding it, or some other person. A legal
arrangement whereby the beneficiary (i.e. the life tenant)
is entitled to the income from the property during his or
her life. Upon the death of the life tenant, the property
goes to the person holding the remaining interest, or to
the grantor by reversion.
Georgia Department of Revenue
• mortgagee — the person who takes, holds, or receives
a mortgage.
• mortgagor — the debtor; the party who mortgages the
property. The party to a mortgage who gives legal title
or a lien to the mortgagee in order to secure the
mortgage loan.
• nulla bona — the name of the return made by the sheriff
to a writ of execution, when he or she has not found any
goods of the defendant within his or her jurisdiction on
which to levy.
• pointing out — the act of a delinquent taxpayer in
pointing out or selecting property that he or she prefers
to be levied on (O.C.G.A. 48-3-4).
• quitclaim — the release of a claim.
Georgia Department of Revenue
• security deed — a deed pledging property to secure a
loan.
• statute of limitations — statutes of the federal
government and various states setting maximum time
periods during which certain actions can be brought or
rights enforced.
• summons of garnishment — an order issued by an
appropriate officer to a person owing the delinquent
taxpayer money or holding property of the delinquent
taxpayer which may be used to pay the taxes and costs
due (O.C.G.A. 48-3-12).
• tax deed — the deed given upon a sale of real property
made for non-payment of taxes. The deed whereby the
officer of the law undertakes to convey the title of the
property to the purchaser at the tax sale. This is
sometimes called a sheriff’s deed.
Georgia Department of Revenue
• warranty deed — a deed which conveys the
title to property whereby the seller guarantees
the title to be good and unencumbered except
as stated and agrees to defend and protect the
purchaser against any loss that may arise in the
future from any defect in the title at the time of
conveyance.
• writ — a written court order or a judicial process,
directing that a sheriff or other judicial officer do
what is commanded by the writ; or giving
authority and commission to have it done.
30 Day Notice
before issuing Fi.Fa.
48-3-3
30 Days
Issue and Record Fi.Fa.
48-3-3 & 48-5-161
Levy
48-4-3
5 Days
Notice to Owner and Tenant
within 5 days of Levy
9-13-13
Notice to Holder of Mortgages & Leins 20 days prior to Advertising
48-3-9
20 Days
Advertising – 4 consecutive
weeks before Sale
9-13-140 & 142
4 Weeks
10 day notice
to Defendant
48-4-1
Sale Day
First Tuesday of Month
Notice to IRS 25 days before Sale
(if Federal Tax Lien)
IRS Publication 786
25 Days
Georgia Department of Revenue
Summary of Flowchart
•
•
•
•
•
•
Tax Due Date 12/20/08
FIFA Letter mailed on 12/21/08
Record FIFA on 1/21/09
Levy on Property 1/22/09
Notice to Owner or Tennant by 1/27/09
Notice to Mortage/Lein Holder- 1/27/09
20 days Prior to Advertising
Georgia Department of Revenue
• Advertise Property 4 Consecutive Weeks
Start week of 2/16/09-3/9/09
• Last Notice to Defendant-10 day before
Sale- Mailed before 3/29/09
• IRS Notice if Necessary-25 days before
sale-Mail by 3/14/09
• Sale Property on 4/7/09-First Tuesday of
Month
Georgia Department of Revenue
Executions
48-3-3
Georgia Department of Revenue
48-3-3. Executions by tax collectors and
commissioners
(1) "New owner" means the most recent
subsequent owner who has purchased such
property during the year after January 1, but on or
after the due date of that tax bill year and whose
deed has been duly recorded in the records of the
clerk of the superior court for that county.
Georgia Department of Revenue
(2) "Owner of record" means the owner
whose name appears in the deed record
as the owner as of January 1 of that tax
bill year.
Georgia Department of Revenue
(e) (1) Whenever technologically feasible,
the tax collector or tax commissioner, at
the time tax bills or any subsequent
delinquent notices are mailed, shall also
mail such bills or notices to any new owner
that at that time appear in the records of
the county board of assessors. The bills or
notices shall be mailed to the address of
record as found in the county board of
assessors' records.
Georgia Department of Revenue
(2) A new purchaser of property shall not be
required to pay the interest specified in Code
Section 48-2-40, or the penalty specified in
Code Section 48-2-44, until 60 days after the
tax collector or tax commissioner has
forwarded a tax bill to the new purchaser in
accordance with paragraph (1) of this
subsection. This paragraph shall apply only to
the tax bill applicable to the year in which the
property was purchased.
Georgia Department of Revenue
(d) No execution shall be issued against any person who is not the record
owner of the property on the day that the taxes become delinquent if,
within 90 days from the due date, that person has provided satisfactory
proof to the tax collector or tax commissioner that the property has been
transferred by recorded deed and the liability for the payment of ad
valorem taxes has been assigned to the vested transferee by written
agreement or contract. In such cases, the execution shall be issued
against the person who is the new record owner of the property on the
date that taxes became delinquent only after such new owner has been
sent a notice of the delinquent tax bill and that the tax collector or tax
commissioner intends to issue a tax execution in the new owner's name
against such delinquent property if the bill and all applicable interest and
other charges are not paid within 30 days of the date of the notice.
Georgia Department of Revenue
Who is Execution Issued against?
• Old Owner
– No proof of new
ownership
– No new PT-61
– Longer than 90 days
after due date
• New Owner
– Old owner brings
proof
– New PT-61
– When proper notice
given
Georgia Department of Revenue
What to do-• notice mailed first class
– address of record on PT-61
• execution already issued
– shall be affirmatively cleared and vacated
Georgia Department of Revenue
Prohibited
• 48-4-23
• Individuals
prohibited from tax
sale purchase
Georgia Department of Revenue
Prohibited individuals
• A tax commissioner
• Any person employed in the office of the
tax commissioner
• Any person working on behalf of the tax
commissioner
Georgia Department of Revenue
Penalty for Violation
• shall be guilty of a misdemeanor
• imprisonment for a period of not more than
one year
• And/Or a fine not to exceed $1,000.00
• Must Void Sale
Georgia Department of Revenue
Sheriff’s Deed
• Completed and Signed in Tax Office
• Recorded in Clerk’s Office
• Given to the Purchaser after payment
Georgia Department of Revenue
Excess Funds
• 48-4-5 Code Section
• Send Notice to Record Owner/Security Deed
Holder/Parties of Recorded Interest within 30
days of Sale
• Notice Should Contain:
1. Description of Land Sold
2. Date Property Sold
3. Name & Address of sale purchaser
4. Total Sale price
5. Amount of excess funds held by TC.
Georgia Department of Revenue
Excess Funds-Cont’d
• Interpleader may Be filed –Superior Court can
decide who receives Excess
• If Excess Not Claimed -After 5 years amount is
sent to GA DOR - Unclaimed Property Section
• Remittance Form & Instructions on GA DOR
Website-www.etax.dor.ga.gov
Georgia Department of Revenue
Redemption
• 48-4-42
• Fee = 20% for the first year
• 10% for every year
thereafter
• Foreclosure—consult an
attorney
• Court Case—requires
recording
Georgia Department of Revenue
Judicial Sales
• Conducted by Superior Court Judge
• Consult County Attorney
Georgia Department of Revenue
Mobile Homes
•
•
•
•
Personal Property
No 30 day letter required
No redemption period
Same procedures apply
Corresponding O.C.G.A.
State Statute(s)
Legal Costs and Fees
Principal Tax
$1.00 Minimum or One-Percent Per Month Interest
48-2-40; 48-3-8; 48-5-24
Sub Total, Tax and Interest
Five-Percent Late Payment Penalty - Applicable to Counties with Installment Payments
48-5-24
10-Percent Penalty after 90 Days Except on Homestead Bills $500 or Less
48-2-44
Fi. Fa.’s
15-16-21
Sub Total Due
Levy Administrative Fee (Five-percent of tax with a $50 minimum / $250 maximum)
48-5-161
Ex-Officio Sheriff Commissions
15-16-21
Fieri Facias Issuance
48-5-163
Fieri Facias Recording
15-6-77.3
Fieri Facias Collection (0-$100 / $100 +)
15-16-21 (B) (20); 15-16-21 (B) (21)
Fieri Facias Cancellation
15-6-77 (C) 2
Dishonored Check or Instrument (Penalty)
48-5-146
Dishonored Check or Instrument (Service Charge)
16-9-20
Each Levy or Fieri Facias
15-16-21
Settling
15-16-21
Advertising
9-13-143
Tax Deed
15-16-21
Bill of Sale (Personal Property)
15-16-21
Deed Recording
15-6-77.3C (1)
Retaining Fee (All Recording)
7-14-51 (B)
Total Legal Costs and Fees
Total Due or Beginning Bid
Bid Overage
48-4-5
Code Section
Office/Officer
Purpose of Fee
Previous Fee
Amount
New Fee
Amount
15-6-77(g)(2)
Superior Court
Uncertified copies of documents, if no assistance required
$0.25
$0.50
15-6-77(g)(9)
Superior Court
Certificate of appointment and reappointment to notaries public
$13.00
$20.00
15-6-77(g)(10)
Superior Court
Registering and filing trade names
$8.00
$15.00
15-6-77(g)(11)
Superior Court
Issuing subpoena, signed and sealed
$1.00
$5.00
15-6-77(g)(12)
Superior Court
Preparing and indexing record for the Supreme Court/Court of
Appeals, per page
$1.50
$10.00
15-6-77(g)(12)
Superior Court
Transcript of evidence and proceedings, recopying not required
$5.00
$35.00
15-6-77(h)(6)
Superior Court
Copy of record of appeal in criminal cases w/ capital felony; per
page
$1.50
$5.00
15-9-60(e)(1)
Probate Court
Initial estate proceeding
$90.00
$130.00
15-9-60(f)(1)
Probate Court
Minor Guardianship proceeding
$60.00
$75.00
15-9-60(f)(2)(A)
Probate Court
Petition of guardian for leave to sell (minor)
$50.00
$70.00
15-9-60(f)(2)(B)
Probate Court
Petition of compromise doubtful claim of minor
$50.00
$70.00
15-9-60(f)(2)(C)
Probate Court
Petition for leave to encroach on corpus (minor)
$25.00
$30.00
15-9-60(f)(2)(E)
Probate Court
Inventory or annual, intermediate, or final return (minor)
$25.00
$30.00
15-9-60(f)(2)(F)
Probate Court
Petition or motion for attorneys' fees (minor)
$50.00
$70.00
15-9-60(f)(2)(G)
Probate Court
Petition to terminate temporary guardianship of minor
$25.00
$30.00
15-9-60(f)(2)(H)
Probate Court
Other unspecified guardianship matter (minor)
$25.00
$30.00
15-9-60(g)(2)(A)
Probate Court
Petition of guardian for leave to sell (adult)
$50.00
$70.00
15-9-60(g)(2)(B)
Probate Court
Petition to compromise doubtful claim (adult)
$50.00
$70.00
15-9-60(g)(2)(C)
Probate Court
Petition for leave to encroach on corpus (adult)
$25.00
$30.00
15-9-60(g)(2)(E)
Probate Court
Inventory or annual, intermediate, or final return (adult)
$25.00
$30.00
15-9-60(g)(2)(F)
Probate Court
Petition or motion for attorneys' fees (adult)
$50.00
$70.00
15-9-60(g)(2)(G)
Probate Court
Petition to terminate/modify guardianship of incapacitated adult
$50.00
$70.00
15-9-60(g)(2)(H)
Probate Court
Application of guardian for letters of dismission (adult)
$60.00
$75.00
15-9-60(g)(2)(I)
Probate Court
Other unspecified guardianship matter (adult)
$50.00
$70.00
15-9-60(h)(1)
Probate Court
All services rendered, in matters involving sterilization,
involuntary treatment, habilitation, or temporary placement
$75.00
$130.00
Code Section
Office/Officer
Purpose of Fee
Previous Fee
Amount
New Fee
Amount
15-9-60(i)(1)
Probate Court
Hearings in contested matters (per 1/2 day)
$25.00
$30.00
15-9-60(k)(4)
Probate Court
Petition to change birth certificate
$60.00
$75.00
15-9-60(k)(5)
Probate Court
Unspecified services through entry of final order
$50.00
$70.00
15-9-60(k)(6)
Probate Court
Issuance of order not otherwise specified
$25.00
$30.00
15-9-60(k)(7)
Probate Court
Motions, amendments, or other pleadings
$10.00
$15.00
15-9-60(k)(8)
Probate Court
Processing appeals to superior court (does not include recording
fees)
$25.00
$30.00
15-9-60(k)(11)
Probate Court
Permit to discharge fireworks
$25.00
$30.00
15-9-60(k)(12)
Probate Court
Firearms license
$15.00
$20.00
15-9-60(k)(13)
Probate Court
Replacement firearms license
$5.00
$6.00
15-9-60(k)(14.1)
Probate Court
Marriage license, if applicants have not completed premarital
education
$35.00
$40.00
15-9-60(k)(15)
Probate Court
Safekeeping of a will
$10.00
$15.00
15-9-60(k)(17)
Probate Court
Peddler's license
$10.00
$15.00
15-9-60(k)(21)
Probate Court
Recording of marks and brands
$10.00
$15.00
15-9-60(k)(22)
Probate Court
Exemplification
$10.00
$15.00
15-9-60(k)(23)
Probate Court
Certification under seal of copies (also add copy costs)
$5.00
$10.00
15-9-60(k)(24)
Probate Court
Certified copies of letters of personal representative, temporary
administrator, or guardian
$5.00
$10.00
15-9-60(k)(25)
Probate Court
Issuing a subpoena, each
$5.00
$10.00
15-9-60(k)(26)
Probate Court
Oath or bond of any official/employee within county, including
municipal employees
$5.00
$10.00
15-9-60(k)(28)
Probate Court
Examination of records or files
$5.00
$10.00
15-9-60(k)(30)
Probate Court
Copies, per page
$0.25
$1.00
15-10-80(a)
Magistrate Court
Civil Action Filing Fee
Not to exceed $20
Not to exceed
$22
Code Section
Office/Officer
Purpose of Fee
15-10-80(c )
Magistrate Court
Writ of fieri facias
15-10-81
Magistrate Court
15-10-82
Previous Fee
Amount
New Fee
Amount
$2.00
$4.00
Conviction - Violation of Ordinance
Not to exceed $30
Not exceed $70
Magistrate Court
Hearing on search/arrest warrant
Not to exceed $10
Not exceed $20
15-16-21(b)(1)
Sheriff
Serving copy of process and returning original
$25.00
$50.00
15-16-21(b)(2)
Sheriff
Action from another county
$25.00
$50.00
15-16-21(b)(3), (c)(7)
Sheriff
Summoning each witness
$6.00
$10.00
15-16-21(b)(4)
Sheriff
Levy or Writ of Fieri Facias
$25.00
$50.00
15-16-21(b)(5)
Sheriff
Search and return of nulla bona
$13.00
$20.00
15-16-21(b)(6)
Sheriff
Summons of garnishment or rule against garnishee
$25.00
$50.00
15-16-21(b)(8)
Sheriff
Titles to land
$25.00
$50.00
15-16-21(b)(8)
Sheriff
Titles to land if presented by purchaser
$13.00
$20.00
15-16-21(b)(9)
Sheriff
Executing bill of sale to personal property, when demanded by
purchaser
$13.00
$20.00
15-16-21(b)(14)
Sheriff
Settling each execution in his hands, settled w/o sale
$13.00
$20.00
15-16-21(b)(15)
Sheriff
Levying an attachment
$25.00
$50.00
15-16-21(b)(20)
Sheriff
Collecting tax fi. fas., $100 or less
$5.00
$10.00
15-16-21(b)(21)
Sheriff
Collecting tax fi. fas., over $100 each
$10.00
$20.00
15-16-21(c)(8)
Sheriff
Taking bonds in criminal cases
$13.00
$20.00
15-21A-6.1
Superior Court
Judicial Operations Fund Fee (new)
-
$125.00 (State)
15-21A-6.2
State Court
Judicial Operations Fund Fee (new)
-
$75.00 (State)
15-21A-6.2
State Court
Judicial Operations Fund Fee (new)
-
$50.00 (Local)
Georgia Department of Revenue
Penalties & Interest
Interest - 1% per month from due date until date paid
- any period less than a month is considered one
month
- minimum interest is $1.00
- interest collected from taxpayers distributed to
levying authorities ratably in manner taxes are
required to be paid
Georgia Department of Revenue
Late Payment Penalties
Penalties are part of the tax and to be collected as
such
-Generally 10% of delinquent tax
-Per 48-5-242 the county governing
authority may delegate authority to waive
delinquent penalties to Tax Commissioner
Georgia Department of Revenue
Late Payment Penalties (cont.)
• Bad Check = 1% of amount on check or
money order
• Tax Commissioner needs to have approval of county
governing authority to receive checks to avoid personal
liability
• Follow procedures in 48-5-146
Georgia Department of Revenue
Late Return of Property
• Day after Return Due =
10% of tax due or $1
• Return due date is April
1st (March 1St in some
counties)
Georgia Department of Revenue
Breach of Covenants
Preferential - Taxes saved that year x factor below:
The penalty shall be computed for the year the breach
occurs by multiplying the taxes saved times:
5 - If breach occurs in First or Second Year
4 - If breach occurs Third or Fourth Year
3 - If breach occurs in Fifth or Sixth Year
2 - If breach occurs in Seventh, Eighth, Ninth, or
Tenth Year
Such penalties shall be prorated and distributed to each tax
jurisdiction.
Georgia Department of Revenue
CUVA
Conservation and Residential Transitional - Taxes saved each year x 2
The penalty shall be computed on the entire tract by multiplying the taxes saved
each year by 2 for each year completed or partially completed.
Conservation covenant in renewal breached after sixth year – Taxes saved
Conservation covenant breached owner has reached age 65 or entered into
covenant after 67 and owned/inherited 15 years. -Taxes saved in year of
breach
Conservation covenant breached because of medically demonstrable
illness or disability. –Taxes saved
Conservation covenant breached because of foreclosure-Taxes saved
Such penalties shall be prorated and distributed to each tax jurisdiction.
Georgia Department of Revenue
Criminal Penalties- Mobile Homes
• Failure to Purchase and Display a Decal =
Minimum $25, Maximum $200
• Failure to Display a Decal = $25
• Move or Transport without a Decal =
Misdemeanor
Georgia Department of Revenue
Criminal Penalties
•
Obstructing Levying Officers = Misdemeanor
•
Violation of Confidentiality = Civil Penalty (maximum $1,000)
•
Failure to Furnish Records not Confidential = Misdemeanor
•
Failure to Keep Execution Docket = Commission Forfeiture plus
20%
•
Failure to Settle Accounts = Principal Amount plus 20% Interest
Georgia Department of Revenue
Levy/Execution Fees
• Levy Administration Fee = Lesser of 5% of Tax or $250
(minimum $50)
• Fee for Issuing Tax Executions = $ .50
• Issue Day of Execution = 1% per Month
• Transferred Executions - Annual Interest = No More than 12%
• Transferred Executions - Date of Transfer = 1% per Month
Georgia Department of Revenue
Court Cases
• DRST Holdings v AGIO Corp
1/8/08
• Powers v CDSaxton
4/28/09
• Huff v. The Harpagon Company, LLC 3/22/10
Georgia Department of Revenue
DRST Holdings
•
•
•
•
May 2004 Tax Sale—purchased by AGIO
Excess funds on sale
December 2004 Tax Sale of Same Property
Competing Tax Leins??
Georgia Department of Revenue
FDIC
• Federal Deposit
Insurance
Corporation
• Insures deposits up to
$250,000
• Independent Agency
of the Federal Govt
– www.fdic.gov
Georgia Department of Revenue
Failed Banks
•
•
•
•
List updated daily and weekly
Get on e-mail list
FDIC Receiver appointed
Bank Takeover
– Notice sent to last “recorded”
– Assets vs Liabilities
Georgia Department of Revenue
Collection Procedures
• Notify Receiver at FDIC—ASAP
• Payment forthcoming
– May be able to save on advertising fees
• Redemption Fee ???