SB 01142 Summary

• Requires tax collectors to provide notice of property tax due dates at least 5 days before taxes are due, again within one week after due date, and at least 5 days before delinquency, using newspaper advertising and municipal websites.

• Changes monthly interest rate on delinquent property taxes from 1.5% to 1% per month in notices, and reduces annual interest rate on delinquent principal from 18% to 12% per annum.

• Mandates that tax collectors shall waive interest on delinquent property taxes if both the tax collector and assessor jointly determine the delinquency resulted from their error and not taxpayer action or inaction.

• Requires municipalities to waive all or a portion of interest on delinquent taxes for taxpayers who received compensation as crime victims under chapter 968.

• Reduces the annual interest rate on redemption amounts from 18% to 12% per annum in tax sale redemption proceedings.

• Takes effect October 1, 2023 for assessment years commencing on or after that date.