Senate Approves Bill to Provide Amnesty for Delinquent Property Taxes

state-flag-indianaThe Senate approved a bill Tuesday that would address the backlog of county delinquent property tax cases and help homeowners keep possession of their property. State Senator Karen Tallian (D-Portage) co-authored Senate Bill (SB) 165, which would allow counties to authorize a one-time option to waive penalties for delinquent property taxes due before Jan. 1, 2012. The bill was unanimously approved in the Senate by a vote of 50-0.

“This bill would serve as a one-time opportunity for property owners who are about to lose their homes or land,” said Sen. Tallian. “It’s important to allow this option so that we can avoid more foreclosures and increased debt at a time when people are struggling.”

The bill would provide that counties could waive penalties added before Jan. 1, 2012, if the delinquent property taxes are paid before July 1, 2013.

Further, the bill would allow counties to accept minimum bids on properties subject to sale for a delinquent property tax debt that is the lesser of the delinquent taxes, penalties and other costs or 75 percent of the gross assessed value of the property. In addition, county auditors would have the ability to negotiate payment plans for payment of delinquent property taxes, a provision designed to lessen the number of properties that go to a tax sale. This provision mirrors policy already adopted in Lake County.

The bill will now go to the House of Representatives for further consideration.

For more information on Sen. Tallian, her legislative agenda or other State Senate business call 1-800-382-9467 or visit www.SenateDemocrats.IN.gov.