Do CA State Tax Liens survive a CA tax auction?

Do CA State Tax Liens survive a CA tax auction?

Investor · Arcata, CA · Member since 2015 · 89 posts · 12 votes

Hi BP,

I am wondering if a lien filed against the owner of a property (not the property's property tax) going up for auction at a tax deed sale survives the auction? For example, there is a property I am doing title research on where the CA State Tax Board filed a lien against the property owner. 

I think that it would survive, because of the following 2 examples of title encumberances that survive a CA tax sale, but I am not quite sure:

a. Any lien for installments of taxes and special assessments, which installments will become payable upon the secured roll after the time of the sale.1

b. The lien for taxes or assessments or other rights of any taxing agency, which does not consent, to the sale under this chapter.

Can anyone with experience shed some light on this? Thank you!

-Eli

0Reply
39 views

3 Replies

Jump to latestLatest
  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    3y

    what they are referring to is bonds that are paid in the ad valorum tax bill.

    like school bonds  improvement bonds etc..  this is not child support or income tax..

    other than IRS which has to give you your money back plus interest if they want to redeem.

  • Investor · Arcata, CA · Member since 2015 · 89 posts · 12 votes
    3y
    Quote from @Jay Hinrichs:

    what they are referring to is bonds that are paid in the ad valorum tax bill.

    like school bonds  improvement bonds etc..  this is not child support or income tax..

    other than IRS which has to give you your money back plus interest if they want to redeem.

    Do you have a source for this? This seems to be directly referring to liens placed on a home from delinquent payment of income tax (payment plan for CA income tax, for example).

    "Any lien for installments of taxes..."

    i need to make sure because the owners of a property have a CA income tax lien filed against them for twice the ARV of the property.

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    3y
    Quote from @Eli Kallison:
    Quote from @Jay Hinrichs:

    what they are referring to is bonds that are paid in the ad valorum tax bill.

    like school bonds  improvement bonds etc..  this is not child support or income tax..

    other than IRS which has to give you your money back plus interest if they want to redeem.

    Do you have a source for this? This seems to be directly referring to liens placed on a home from delinquent payment of income tax (payment plan for CA income tax, for example).

    "Any lien for installments of taxes..."

    i need to make sure because the owners of a property have a CA income tax lien filed against them for twice the ARV of the property.


    instead of guessing  simply Ask a title company .. call and talk to the title officer..  In my experience with CA tax sales and it spans decades and 1000 plus deals .. no state income tax liens ever stuck. we never ran title on the stuff we bid on unless there was a question of access. Reason being tax sale wiped everything out.. and if a taxing authority wants to redeem they have to give you your money back plus interest. I still think what your quoting is property tax's and bonds.
Join the conversationCreate a free account to reply, vote on answers and follow this thread.