Booher warns delinquent tax payers of third party buyouts

Posted August 24, 2016 at 6:58 pm

County Clerk Shelia Booher would like to remind taxpayers in Clinton County who have delinquent tax bills, they should pay them prior to the tax sale to avoid having them possibly purchased by a third party and be subject to pay a huge amount more than what the tax bill is at face value.

The Delinquent Tax Sale is scheduled for Tuesday, September 13 at 9 a.m. at the courthouse, which is now less than three weeks away.

According to county clerk records, some 240 tax bills remained unpaid as of last Friday, August 19, up from the number of delinquencies this time last year.

In 2015, some 14 delinquent tax bills were purchased by a third party, the county clerk said.

The deadline to pay property taxes before they go into delinquent stage was mid-April. After that period, the tax bills were turned over from the sheriff’s office, which collects taxes, to the county clerk’s office and the names of those in delinquency are published.

Now that the bills are in the county clerk’s hands they are subject to third party purchase, at which time a substantial amount of penalties, interest, and fees will be added (if purchased by a third party) to the amount due.

If purchased by a third party, the additional cost would be incurred to redeem and fulfill the taxpayer’s obligation.

“The amount of the bill increases over 50 percent in some cases,” Booher said.

Also, if purchased by a third party, up to one percent interest per month can be added and a lien placed on the property. To get the bill released, some tax buyers charge up to 12 percent interest plus attorney fees, she said.

“Taxpayers wind up paying two or three times more than what the company (that purchased the bill) buys them for,” said Booher.

A few years prior to this particular tax bill, the amount of delinquent tax bills and subsequent third party purchases had decreased for two or three years, primarily because property owners were finding that the companies that buy the tax bills after the deadline means business, the county clerk theorized.

Booher urges anyone, private property owners or oil companies, to pay the delinquent taxes prior to them being put up for sale and subject to a third party purchase.

Booher also advised that anyone who may be unsure whether or not they have a delinquent bill or for more information about the issue to contact the County Clerk’s Office at (606) 387-5943.