Tax Sales

After taxes have been advertised, they can go up for tax sale. There are three kinds of tax sales: private, public, and county. The main difference between them, as far as the program is concerned, is when the statements get collected. For any private or public tax sale, the statements get paid once someone has purchased the taxes and the certificate gets created. However, for county tax sales no money is exchanged to cover the taxes owed upon creation. Instead, the statements get paid once the tax sale has been assigned or redeemed.

Creating a New Certificate

To create a new tax sale, follow these steps:

1. Go to Collections > Tax Sales
2. Click the Add Button
3. The Tax Sale Wizard will open and allow for entering the Certificate Type and Parcel ID for outstanding statements. Enter a valid Parcel ID number or click the Find button to choose one out of a list.

NOTE: It may take a little while for the list to be poplulated before the Find button can be clicked



4. On the second screen of the Tax Sale Wizard, choose which statements to be included on the certificate by toggling the slider on the left of each statement, and then click FINISH.



NOTE: SKIP can be pressed on this step if a blank certificate is required.

5. The Tax Sale Wizard will close and return to the Tax Sale screen. On the Tax Sale screen, enter the Tax Sale ID, Tax Sale Date, and the Bank Code (Multiple Receipt Code) of the purchaser.



6. Click the Save button. On the "Are you sure you wish to save this record?" box that opens, select the date needed for the Miscellaneous Receipt and the Online Receipt. The date will default to be the same as the business date, but it can be changed in the event that the books have already been balanced for that day. For example, March 5th has already been balanced but not all of the certificates are entered yet. In this case, the certificate date can still be March 5th, but the receipt dates can be March 6th so they do not affect the March 5th business.



7. Click the Yes button to commit the record to the database. The system will print an Miscellaneous Receipt, Tax Sale Certificate(s), and Real Estate Receipts for statements that were added to the certificate (as long as the tax sale is not a county tax sale).

By default, only one copy of the certificate is printed, but this can be changed in the Options Screen under County > Printing.

Redemption Process

Redeeming a tax sale is as easy as clicking the Redeem Certificate option on the Tax Sale Editor. This will prompt for a Redemption ID, a Redeemer, some optional Comments, a Redemption date, and an Interest date for calculating the interest on the principal amount.  Pressing CONFIRM on the confirmation screen will print out a Redemption Certificate(s), a Miscellaneous Receipt which will include the redemption fee plus the amount that will be paid to the investor into the Redemption Holding account, and Real Estate Receipt(s) if the certificate is a County Tax Sale.

Assignments

If a tax sale is purchased by another individual, assignments can be used to keep track of the ownership. To add an assignment, click on the Tools menu located in the toolbar, and then click Add Assignment. This will prompt for some information about the new puchaser. Once confirmed, this process will ask if a miscellaneous receipt should be automatically created for the assignment fee and add an Assignments section to the bottom of the Tax Sales screen.

Subsequent Payments

The recommended way to add a subsequent payment to a tax sale is through the Tax Collection screen.  When viewing any statement that is under tax sale from the Tax Collection screen, there are subsequent payment options under the Tax Sale section.  Utilizing either of these will create a payment for the statement and mark that payment as subsequent to the tax sale.  Once the payment gets posted, it will automatically show up on the tax sale certificate.