Title
Treasurer-Tax Collector recommending the Board adopt and authorize the Chair to sign Resolution 198-2024 setting forth the procedure for cancellation of property tax penalties, costs and fees pursuant to Revenue and Taxation Code Section 2610.5.
FUNDING: N/A
Body
DISCUSSION / BACKGROUND
California Revenue and Taxation Code 2610.5 allows that property tax penalties imposed may be canceled if the Board of Supervisors, upon recommendation of the Tax Collector, has authorized the Tax Collector to establish, and the Tax Collector has so established, specific procedures for the consideration of property tax penalty cancellations. To ensure compliance with Section 2610.5, the Treasurer-Tax Collector is requesting Board approval of the property tax penalty cancellation policy and authority to cancel the penalties and costs in accordance with said policy and procedure. Under the procedure, penalties would only be cancelled in the following circumstances:
1. County's failure to send the tax bill to the address provided on the tax roll or electronic address provided and authorized by the taxpayer to the Treasurer-Tax Collector.
2. County’s failure to send a notice of taxes to the owner of property acquired after the lien date on the secured roll, provided payment of the amount of taxes due, minus any penalties and costs, is made no later than June 30 of the fiscal year in which the property owner is named as the assessee for taxes coming due.
3. A late, amended, or corrected tax bill, provided the tax amount is paid within 30 days following the date that bill is mailed or electronically transmitted.
ALTERNATIVES
The Board could not approve or direct revisions to the proposed Treasurer-Tax Collector Penalty Cancellation Policy and Procedure.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
There is no fiscal impact associated with the adoption of this resolution. It is not possible to estimate the amount of penalties that would be cancelled under this procedure but it is unlikely that cancellation of these penalties would have a material impact on County revenues; however, regardless of the potential impact, penalties should not be assessed in the instances named in the resolution, as there would be no fault on the part of the taxpayer.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Upon Board adoption and approval, please provide a copy of the executed Resolution to the Treasurer-Tax Collector and the Treasurer-Tax Collector will implement the procedure.
STRATEGIC PLAN COMPONENT
N/A
CONTACT
K. E. Coleman, MBA, Treasurer-Tax Collector