Delinquent Tax Collection
The McCracken County Attorney’s Office has entered into an agreement with the Department of Revenue to assist in the collection of delinquent taxes. After property tax bills become delinquent and are transferred from the Sheriff to the County Clerk they become certificates of delinquency and are submitted to our office for collection.
Letters are then sent to the delinquent taxpayers advising them that the bills are subject to collection and addresses the possible results of non-payment, which ultimately include foreclosure. Once these bills are advertised and sold by the Clerk, third party investors have the opportunity to purchase them. Once purchased, there may be many additional fees added to the bills.
Taxpayers may be eligible to enter into installment payment agreements with this office. The terms and conditions of those agreements are determined by the County Attorney. If an agreement is entered into prior to the Clerk’s sale and the taxpayer is current on the payments under the agreement, the underlying bills are not subject to be purchased by investors.
While we strive to have compassion for those that may be having financial difficulties which lead to the failure to pay, providing services such as schools, roads, health departments and other government service is costly. Everyone must pay their fair share.
Frequently Asked Questions:
Below is a list of commonly asked questions. Press the (+) beside the question below to display the answer.
A tax is considered “delinquent” when the due date of a specific real estate tax assessment has passed and by statute any appeal rights have expired. McCracken County real estate property tax notices are mailed out in late September or early October by the McCracken County Clerk’s Office and are payable to the County Sheriff’s Office beginning November 1. They become delinquent on January 1, following their due date and are maintained and collected in the McCracken County Sheriff’s office until April 15. After April 15, delinquent taxes are transferred to and maintained by the McCracken County Clerk’s office, accruing penalties and interest of 1% per month until paid.
Yes. A lien is filed against real property you own in McCracken County. The lien is filed with the McCracken County Clerk’s Office and is a public record of the amount you owe. It could affect your ability to obtain credit or sell real estate. The cost of releasing the lien will be added to the delinquent tax account at the time the lien is filed.
Yes. The McCracken County Attorney’s office can create a payment plan for delinquent tax bills when payment in full cannot be made. Delinquent tax bills on a compliant payment plan will be marked as “unavailable for sale” with the McCracken County Clerk’s office therefore removing the risk of the bill being purchased by a third-party purchaser.
Kentucky law allows any individual or company to purchase taxpayers’ delinquent tax bills that have not been previously purchased by the state or sold and recorded in the McCracken County Clerk’s Office. The purchase can neither be anticipated nor prevented by the McCracken County Clerk or the McCracken County Attorney. The McCracken County Clerk will hold an annual sale of delinquent tax bills. A specific date is set on a yearly basis but the sale is normally held in October.
The tax bill is converted to a “Certificate of Delinquency” which the buyer will receive from the County Clerk’s Office as a piece of paper or an electronic record. The buyer has fifty (50) days to give you notice he has bought your tax bill. Payment must be sent directly to the buyer, along with the associated penalties and interest assessed by the buyer. Once you pay the buyer, he will surrender the certificate to you, so that it may be presented to the County Clerk for lien release.
The buyer may institute a foreclosure action in court against you for the unpaid debt one (1) year after the creation of the certificate of delinquency. However, some buyers may be in no hurry to collect the debt, given the high interest rates charged, and may simply hold the certificate as long as your equity in the property exceeds the tax debt. The statute of limitations for the certificate of delinquency is 10 years.
Yes. A delinquent tax collection fee and interest will be added to the total amount due when it becomes delinquent. Currently the fees are penalties, cost of advertising, lien filing fee, County Attorney fee, County Clerk fee. A third party purchaser may also add other costs to your bill.
