Current Status Bill Number:4531 Type of Legislation:General Bill GB Introducing Body:House Introduced Date:19980128 Primary Sponsor:Vaughn All Sponsors:Vaughn, Woodrum, Bauer, Bailey, Young, Govan, Mason, Koon, Barrett, Simrill, Sandifer, Cato, Clyburn, Tripp, Leach, Hamilton, Canty, McCraw, Stille, Rodgers, Davenport, McGee, Knotts, Bowers, Haskins, Cave and Riser Drafted Document Number:dka\4730mm.98 Residing Body:House Current Committee:Ways and Means Committee 30 HWM Subject:Property taxes, delinquent; payment by successful bidder at sale; redemption period, tax deed; Taxation
Body Date Action Description Com Leg Involved
______ ________ _______________________________________ _______ ____________
House 19980303 Co-Sponsor removed (Rule 5.2) by Rep. Hinson
House 19980303 Co-Sponsor removed (Rule 5.2) by Rep. Law
House 19980128 Introduced, read first time, 30 HWM
referred to Committee
View additional legislative information at the LPITS web site.
TO AMEND SECTION 12-51-60, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PAYMENT BY THE SUCCESSFUL BIDDER AT A DELINQUENT TAX SALE, SO AS TO REQUIRE PAYMENT ONLY OF TAXES, ASSESSMENTS, PENALTIES, AND COSTS PENDING EXPIRATION OF THE REDEMPTION PERIOD; TO AMEND SECTION 12-51-90, AS AMENDED, RELATING TO REDEMPTION OF REAL PROPERTY BY A DEFAULTING TAXPAYER, SO AS TO ALLOW THE DEFAULTING TAXPAYER TO PAY INTEREST ONLY ON THE SUM ACTUALLY PAID BY THE SUCCESSFUL BIDDER; TO AMEND SECTION 12-51-100, RELATING TO CANCELLATION OF THE SALE UPON REDEMPTION AND REFUND TO THE PURCHASER, SO AS TO REFLECT THE PAYMENT REQUIRED OF THE SUCCESSFUL BIDDER; AND TO AMEND SECTION 12-51-130, AS AMENDED, RELATING TO EXECUTION AND DELIVERY OF THE TAX TITLE, SO AS TO REQUIRE THE SUCCESSFUL BIDDER TO REMIT THE BALANCE OF THE DELINQUENT TAX BID BEFORE ISSUANCE OF THE TAX DEED.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 12-51-60 of the 1976 Code, as last amended by Act 431 of 1996, is further amended to read:
"Section 12-51-60. The successful bidder at the delinquent tax sale shall pay legal tender on the day of the sale to the person officially charged with the collection of delinquent taxes in the full amount of unpaid property taxes, assessments, penalties, costs, and taxes levied for the year in which the redemption period begins. The balance of the bid on the day of the sale amount is due when the redemption period expires and before execution and delivery of the tax title as provided in Section 12-51-130. Upon payment, the person officially charged with the collection of delinquent taxes shall furnish the purchaser a receipt for the purchase money sums paid and attach a copy of the receipt to the execution with the endorsement of his actions which must be retained by him. Expenses of the sale must be paid first and the balance of all delinquent tax sale monies collected must be turned over to the treasurer. Upon receipt of the funds, the treasurer shall immediately shall mark the public tax records regarding the property sold as follows: Paid by tax sale held on (insert date). All other monies received, including any excess due the defaulting taxpayer after payment of delinquent taxes, assessments, penalties, and costs, must be retained, paid out, and accounted for by the delinquent tax collector. Once a tax deed has been issued as provided in Section 12-51-130, the defaulting taxpayer must be notified in writing by the delinquent tax collector of any excess due the taxpayer. The notice must be addressed and mailed to the defaulting taxpayer in the manner provided in Section 12-51-40(b) for taking exclusive possession of real property. Expenses of providing this notice are considered costs of the sale for purposes of determining the amount, if any, of the excess."
SECTION 2. Section 12-51-90 of the 1976 Code, as last amended by Act 332 of 1996, is further amended to read:
"Section 12-51-90. (A) The defaulting taxpayer, any a grantee from the owner, or any a mortgage or judgment creditor may within twelve months from the date of the delinquent tax sale redeem each item of real estate by paying to the person officially charged with the collection of delinquent taxes, a sum equal to all taxes, assessments, penalties, and costs, together with.
(B) The defaulting taxpayer also shall pay to the person officially charged with the collection of delinquent taxes a sum equal to eight percent interest on the whole amount of the delinquent tax sale bid actually remitted by the successful bidder on the day of the sale to the official, to include unpaid property taxes, assessment, penalties, costs, and taxes levied for the year in which the redemption period begins, pursuant to Section 12-51-60. In the case of When a redemption takes place in the last six months of the redemption period, for all real property except that property classified pursuant to Section 12-43-220(c) at the time of the delinquent sale, the applicable rate of interest is twelve percent.
(C) If, prior to before the expiration of the redemption period, the purchaser assigns his interest in any real property purchased at a delinquent tax sale, the grantee from the successful bidder shall furnish the person officially charged with the collection of delinquent taxes a conveyance, witnessed and notarized. The person officially charged with the collection of delinquent taxes shall replace the successful bidder's name and address with the grantee's name and address in the delinquent tax sale book."
SECTION 3. Section 12-51-100 of the 1976 Code is amended to read:
"Section 12-51-100. Upon the real estate being redeemed, the person officially charged with the collection of delinquent taxes shall cancel the sale in the tax sale book and note thereon on it the amount paid, by whom, and when. The successful purchaser, at the delinquent tax sale, shall promptly must be notified promptly by mail to return the tax sale receipt to the person officially charged with the collection of delinquent taxes in order to be expeditiously refunded the purchase price plus the eight percent interest provided in Section 12-51-90 sums paid pursuant to Section 12-51-60."
SECTION 4. Section 12-51-130 of the 1976 Code, as last amended by Act 34 of 1997, is further amended to read:
"Section 12-51-130. Upon failure of the defaulting taxpayer, any a grantee from the owner, or any a mortgage or judgment creditor, to redeem realty within the time period allowed for redemption, the person officially charged with the collection of delinquent taxes, shall within thirty days or as soon thereafter after that as possible, shall collect the balance of the bid amount from the successful bidder and make a tax title to the purchaser or the purchaser's assignee. Delivery of the tax title to the clerk of court or register of deeds is considered 'putting the purchaser (or assignee) in possession'. The tax title shall must include, among other things, the name of the defaulting taxpayer, the date of the execution, the date the realty was posted and by whom, and the dates each certified notice was mailed to the party or parties of interest, to whom mailed and whether or not received by the addressee. The successful purchaser (or assignee) is responsible in the amount of fifteen dollars for the cost of the tax title plus any documentary stamps necessary to be affixed and recording fees. The successful purchaser (or assignee) shall pay the amounts to the person officially charged with the collection of delinquent taxes before delivery of the tax title to the clerk of court or register of deeds and upon payment, the person officially charged with the collection of delinquent taxes is responsible for promptly transmitting the tax title to the clerk of court or register of deeds for recording and remitting the recording fee and documentary stamps cost. In case If the tax sale of an item produced produces an overage in cash above the full amount due in taxes, assessments, penalties, and costs, the overage shall belong belongs to the defaulting taxpayer to be claimed or assigned according to law. If neither claimed nor assigned within five years of date of public auction tax sale, the overage shall escheat escheats to the general fund of the governing body. Prior to Before the escheat date unclaimed overages must be kept in a separate account and must be invested so as not to be idle, and the governing body of the political subdivision is entitled to retains the earnings for keeping the overage. On escheat date the overage must be transferred to the general funds of the governing body."
SECTION 5. This act takes effect upon approval by the Governor.