Tax Overages

[Jack Robertson]

Hey guys and gals I just watched an interesting webinar about these tax overages to make some cash flow I'm wondering what type of contracts it takes for this and where do you get these lists?

Is it hard to do? is it worth learning?

I'm looking for someone in austin that wants to team up for a discussion

Let me know Jack

[Alex G.]

Not worth it in Texas. Only attorneys can work on a fee and it's limited to 10% of the overage amount. Tax Code requirements for disclosures to owners and other requirements to get assignment of excess funds are draconian.

See Texas Property Tax Code, Chapter 34: TAX SALES AND REDEMPTION. Read specifically Sec 34.04: Claims for excess proceeds.

Among other things, it mandates that you must pay the owner at least 80% of the value of the overage, etc. You are also not guaranteed you'll get your assignment claim, it's subject to the judge's approval.... And they are looking for little things that are wrong with your petition - to stop you from getting the assignment. If you or the owner don't claim the money - it escheats to the state of Texas. A bit of conflict of interest, don't you think?

There are probably other states where the law isn't as restrictive and you can actually play this game.

Tax Code is online so you can Google it.