H-4682.1          _______________________________________________

                            SUBSTITUTE HOUSE BILL 2326

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State of Washington              52nd Legislature             1992 Regular Session

By House Committee on Revenue (originally sponsored by Representatives Winsley, Wang, Broback, Kremen, Paris, J. Kohl, Rasmussen and Miller)

Read first time 02/07/92.  Waiving the delinquent property tax payment penalty and interest where a mortgage lien has been removed but the property owner has not received notice of taxes due.

     AN ACT Relating to waiver of delinquent real property tax interest and penalties where a mortgage lien has been removed but the county has not notified the property owner of taxes owed; and amending RCW 84.56.025.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

     Sec. 1.  RCW 84.56.025 and 1984 c 185 s 1 are each amended to read as follows:

(1) The interest and penalties for delinquencies on property taxes, which taxes are levied on real estate in the year of a conveyance of the real estate or in the year when a debt secured by the real estate is satisfied of record, and which are collected in the following year, shall be waived by the county treasurer under the following circumstances:

     (((1))) (a) Records conveying the real estate or satisfying a debt secured by the real estate were filed with the county auditor on or before November 30 of the year the taxes are levied;

     (((2))) (b) A grantee's name and address or the name and address of the owner satisfying a debt secured by the real estate are included in the records; and

     (((3))) (c) The notice for these taxes due, as provided in RCW 84.56.050, was not sent to a grantee, or to the owner who satisfied a debt secured by the real estate, due to error by the county treasurer, or failure by the county treasurer to send the notice to the new address filed with the county auditor.

(2) Where such waiver of interest and penalties has occurred, the full amount of interest and penalties shall be reinstated if the grantee or owner who has satisfied a debt secured by the real estate fails to pay the delinquent taxes within thirty days of receiving notice that the taxes are due.  Each county treasurer shall, subject to guidelines prepared by the department of revenue, establish administrative procedures to determine if grantees or owner who satisfied a debt secured by the real estate are eligible for this waiver.