A.R.S. tit. 42 ch. 18 — Arizona Revised Statutes Title 42 Chapter 18 — Collection And Enforcement

42-18001. County treasurer as tax collector; bond A. The county treasurer is ex officio tax collector and shall: 1. Collect all property taxes. 2. Apportion the taxes to the respective funds on or before the end of each month. B. Before assuming the duties of tax collector the county treasurer shall execute to the state a bond in such penal amount as the county board of supervisors requires, but not more than twice the amount of money that may come into the county treasurer's possession as tax collector in one year. 42-18002. Annual report by county treasurer; settlement of accounts; liability for failure to settle A. On or before August 15 of each year the county treasurer shall report to the board of supervisors: 1. The amount of taxes charged for collection during the preceding fiscal year on the roll. 2. The total collections for that year. 3. The amount of increase and decrease due to corrections. 4. The total amount of unpaid taxes on the roll as of June 30. B. The board shall credit the treasurer with the amounts of collections made and corrections made according to law and shall balance them against the amounts originally charged against the county treasurer, plus the errors of debit or credit that may be discovered in the rolls. C. If a county treasurer refuses for a period of five days or wilfully neglects to make the settlement with the clerk of the county board of supervisors and the board of supervisors as required by law, the treasurer and the treasurer's sureties are liable to pay the full amount of taxes charged on the roll. The county attorney, on request of the board, shall bring an action for the full amount due on the roll. D. The treasurer shall keep the accounts of ex officio tax collector and of county treasurer separate and distinct. All collections of the tax collector shall be transferred to the accounts of the county treasurer on the last day of each month, and the records of both the tax collector and county treasurer shall so indicate. 42-18003. Delivery of roll to county treasurer; resolution for collecting taxes A. On or before October 1 of each year the assessment and tax roll and the cross-index shall be delivered to the county treasurer. B. On completing the assessment and tax roll, the county board of supervisors shall adopt a resolution for the collection of taxes by the county treasurer as provided by law from the persons who are listed in the roll. The county treasurer is thereafter responsible for collecting the totals of all taxes levied on the roll. C. The roll attached to the county board of supervisors' resolution for collecting taxes is the treasurer's authority to collect the levied taxes. 42-18004. Transmitting statement of taxes due state to state treasurer Within ten days after the board of supervisors adopts the resolution for collection of taxes levied in the annual roll, the clerk of the board shall transmit to the state treasurer a written statement showing the amount of taxes due the state and contained in the annual roll, as appears from the data entered by the board. 42-18005. Property tax collection; liens assigned to state The county treasurer or board of supervisors, as applicable, may act as the agent for the state for the collection of property taxes under this chapter with respect to any tax liens that are assigned to the state or any property that is held by the state. 42-18051. Notice of tax; payment by electronic funds transfer A. Immediately on receiving the tax roll from the county board of supervisors, the county treasurer shall publish an official notice stating: 1. That the assessment and tax roll is now in the treasurer's possession for collecting the taxes levied. 2. That the taxes on real property and personal property are due and payable and become delinquent at the dates and times prescribed by section 42-18052, and interest will be added to the tax from the time of the delinquency as prescribed by section 42-18053, unless either: (a) The first half of the taxes are paid before they are delinquent. (b) The full year tax is paid on or before December 31, as provided by section 42-18053. 3. That all taxes may be paid at the time the first installment is due and payable. 4. When and where tax payments may be made. B. The county treasurer shall publish the notice once a week for four consecutive weeks in a newspaper of general circulation in the county. C. No other demand for taxes is necessary. D. Each person who is subject to taxation shall pay the taxes at the county treasurer's office, or at any other location designated by the treasurer, before they become delinquent. E. The county treasurer may require electronic transmission of supporting documentation and payment that includes the name of the taxpayer, tax parcel number and amount of tax, on or before the dates prescribed by section 42-18052, by any person or entity, acting on behalf of multiple owners of property who submit tax payments to the county treasurer in a lump sum exceeding fifty thousand dollars or owners who submit fifty or more tax payments. If the sum of funds submitted fails to balance with the tax parcel information and supporting documentation submitted electronically, and there have been no changes to the tax bills as a result of assessor resolutions or tax court judgments, the funds shall not be accepted and the treasurer shall return the funds and request that the correct amount be submitted. If any payment is received after a delinquent date as prescribed in section 42-18052, interest accrues as prescribed by section 42-18053. 42-18052. Due dates and times; delinquency A. Except as provided in subsection C of this section, one-half of the amount of the taxes on real property and personal property is due and payable on October 1, and the remaining one-half of the taxes is due and payable on the following March 1. B. Except as provided in subsection C of this section, one-half of the amount of the taxes that are unpaid is delinquent after November 1 at 5:00 p.m. and the remaining one-half that is unpaid is delinquent after the following May 1 at 5:00 p.m. C. If the total amount of taxes is one hundred dollars or less: 1. The entire amount of the taxes is due and payable on October 1. 2. The entire amount that is unpaid is delinquent after December 31 at 5:00 p.m. D. If the delinquency date is a Saturday, Sunday or other legal holiday, the time of delinquency is 5:00 p.m. on the next business day. 42-18053. Interest on delinquent taxes; exceptions; waiver A. Except as provided in subsection B of this section, all taxes bear interest from the time of delinquency at the rate of sixteen percent per year simple until paid. A fraction of a month is counted as a whole month. B. Interest shall not be collected: 1. If the delinquency is the result of an error by the county assessor or county treasurer. 2. If the full year tax for the year is paid on or before December 31 of the tax year. This paragraph applies regardless of whether payment of tax is due pursuant to section 42-18052, subsections A and B or pursuant to section 42-18052, subsection C for an amount of tax that is $100 or less. C. Subject to the approval of the county board of supervisors, the county treasurer may waive the interest that accrues pursuant to this section, and any other penalties, for a delinquency that occurs during the one-year period after a mortgage or deed of trust is satisfied or otherwise released on the property. A taxpayer may receive a waiver under this subsection only once per property. 42-18054. Tax statements for mortgaged property; liability A. If property that is subject to taxation by the county assessor is mortgaged and the mortgagee, or a person acting for the mortgagee, by the terms of the mortgage agreement pays the tax on behalf of the mortgagor: 1. The county treasurer shall mail or, on the request of the mortgagor, email a statement of taxes due on the property to the mortgagor at the mortgagor's last known mailing address or, if requested, email address. If the mortgagor of the property changes, the county treasurer shall mail the tax statement to the new mortgagor at the address of the property until the new mortgagor requests email delivery of the tax statement. The tax statement shall be sent to the mortgagor before November 1. The tax statement shall separately list the following for the current and previous tax years for the property: (a) The amount of primary taxes and secondary taxes applicable to the property that is due to each taxing jurisdiction. (b) If applicable, the amount of additional state aid to school districts provided to property classified as class three pursuant to section 42-12003. 2. The county treasurer, on request, shall send a statement of taxes due on the property to the mortgagee. The tax statement sent to the mortgagee may be in any form established by the county treasurer. 3. The liability for the tax, and any subsequent interest, fees and penalties, does not depend on either the mortgagor or the mortgagee receiving the tax statement. B. When a mortgagee either continues to receive or possesses an unsatisfied tax statement from the county treasurer after the mortgage is satisfied, the mortgagee shall either: 1. Return the tax statement to the county treasurer within thirty working days, together with the last known address of the mortgagor as shown on the records of the mortgagee. 2. Forward the tax statement or current taxes due information to the mortgagor and notify the county treasurer of this action. C. If a mortgagee fails to comply with subsection B of this section and, as a result of the mortgagee's failure to comply, the tax on the mortgagor's property becomes delinquent, the mortgagee is liable to the mortgagor for all interest and penalties imposed by law for the delinquent tax. 42-18055. Posting payments; receipts A. When a tax is paid, the county treasurer shall record the date of payment and credit the payment to the person or property that is liable for the tax. B. Except as provided in subsection C, the treasurer shall provide a receipt for the payment stating: 1. The total amount paid. 2. The date of payment. 3. The parcel identification number. C. The treasurer shall establish procedures for issuance or nonissuance of receipts. 42-18056. Partial payment of taxes; certificates of purchase; delinquent taxes; payment plan agreement; fee A. At any time before either installment of the tax becomes delinquent, the county treasurer shall accept a partial payment or payments of the tax in an amount of at least ten percent of the installment and in an amount of at least $10. The treasurer shall credit the taxpayer with the payment, and if any part of the tax or any installment remains unpaid at the date of delinquency, the delinquency relates only to the amount remaining unpaid. B. In accepting payments under subsection A of this section, the county treasurer shall issue a receipt to the taxpayer, subject to section 42-18055, subsection C, stating that it covers a partial payment of taxes. C. For all certificates of purchase sold during calendar year 2016 and afterwards for tax year 2014 and afterwards in a county with a population of more than three million persons if no prior year certificates of purchase are outstanding, the county treasurer shall accept a partial payment in an amount equal to at least twenty-five percent of the principal amount shown on the oldest remaining year of the delinquency plus any accrued interest and fees due on the principal payment amount. D. In accepting payments under subsection C of this section, the county treasurer shall issue a partial payment statement to the taxpayer as provided by section 42-18154, subsection C. E. Partial payments on delinquent taxes shall be impounded and disbursed by the county treasurer as prescribed by section 42-18152, subsection C, when the impounded monies are sufficient to fully redeem the oldest outstanding certificate of purchase. F. If no certificate of purchase is outstanding, the county treasurer shall credit the taxpayer with the payment, and if any part of the tax or any installment remains unpaid at the date of delinquency, the delinquency relates only to the amount remaining unpaid. G. Notwithstanding any other law, a county treasurer may enter into a payment plan agreement with a taxpayer for a period of up to thirty-six months for paying the taxpayer's delinquent business personal property taxes of more than $1,000. The county treasurer may charge a fee of not more than $150 for administrative costs associated with processing a payment plan agreement. 42-18057. Payment of tax by part owner; lien for contribution; allocation of tax lien in event of parcel split or consolidation A. If a parcel of real property is assessed in its entirety to one or more persons and part of the property belongs to another person who does not appear on the assessment roll: 1. That person may pay a portion of the whole tax in proportion to the person's interest in the property. 2. The county treasurer shall receive the tax and give a receipt to the person, subject to section 42-18055, subsection C, showing what part of the tax was paid. B. A person who pays the tax on the whole parcel of which the person is a part owner has a lien on the share of the other part owner for that portion of the tax that was paid, with interest. The person may enforce the lien in the same manner as any other lien. C. After the tax roll is delivered to the county treasurer pursuant to section 42-18003 and after all other means to allocate taxes among parties have been exhausted, the county treasurer may allocate the tax due for parcels of real property that were split or consolidated after September 30 of the valuation year as follows: 1. The allocation of the tax to the parcel or parcels shall be in equitable proportions. 2. There shall be no change in the total valuation or classification of the property as determined by the assessor. 3. The total primary and secondary taxes of the new parcel or parcels must be the same as the primary and secondary taxes assessed to the original parcel or parcels. 4. The county treasurer shall apportion the new tax amounts among the taxing authorities in the same manner that applied to the original parcel or parcels before being split or consolidated. 42-18058. Collection and payment of tax on livestock in feedlot or stockyard; exceptions A. The operator of a feedlot or stockyard shall collect and remit the tax on feeder livestock that are confined at the feedlot or stockyard for fattening before sale for slaughter. The operator shall remit the tax quarterly to the county treasurer based on the aggregate of the applicable tax rates that were in effect for the preceding tax year. B. Tax shall not be collected or remitted on the following livestock: 1. Livestock that die before leaving the feedlot or stockyard. 2. Livestock that have previously been taxed in this state during the current tax year before arriving at the feedlot or stockyard. 3. Livestock that are held in the feedlot or stockyard for less than forty-five days. C. The department shall prescribe procedures and provide forms that are necessary to implement this section. 42-18059. Payment of tax on property sold at judicial sale or by fiduciary If the tax has not been paid on property sold at judicial sale, or sold by an executor, administrator, guardian or trustee, the person making the sale shall pay the taxes, penalties and costs from the proceeds of the sale. 42-18060. Lien of fiduciary paying tax If the tax on property is assessed to a person as agent for another, or in a representative capacity, that person has a lien on that property or any property of the principal in the fiduciary's possession until the fiduciary is indemnified against the tax payment, or if the fiduciary has paid the tax, until the fiduciary is reimbursed for the payment. 42-18061. Refund of overpayment due to change in tax roll; reversion of unclaimed refund A. If a change is made in the tax roll pursuant to law, the county treasurer shall refund any taxes that have been overpaid as a result of the change as follows: 1. If monies are available, the county treasurer shall pay the refunds out of those monies in the current year. 2. If monies are not available, the board of supervisors shall budget for the refund in the next fiscal year. 3. The county treasurer is entitled to credit for the refunds in the next accounting after the repayment with each of the political subdivisions and this state to which the overpayment of tax was distributed. 4. The state and any affected political subdivision shall include in their budgets for the fiscal year the proportional amount of the refund for which each is liable. B. If a refund that is authorized by this section is unpaid and unclaimed two years after the fiscal year in which it was budgeted, the monies that were budgeted for the refund revert to the appropriate fund of the political subdivision that levied the tax. 42-18101. Sale and foreclosure of tax liens; effect of insubstantial failure to comply A. The county treasurer shall secure the payment of unpaid delinquent taxes by using the provisions of this article and articles 4, 5 and 6 of this chapter to sell the tax liens provided for in section 42-17154 and to foreclose the right to redeem. B. An insubstantial failure to comply with these provisions does not affect the validity of: 1. The assessment and levy of taxes. 2. Any tax lien on real property for delinquent unpaid taxes. 3. The sale of a tax lien or the foreclosure of the right to redeem by which tax collection is enforced. 42-18102. Delinquent tax record A. The county treasurer shall maintain a record of delinquent taxes, listing the properties, owners of record and the amount of taxes, penalties and interest due. B. Any informality in maintaining the record does not affect its validity. 42-18103. Notice of delinquent taxes On or before September 1 of each year the county treasurer shall send by mail to the last known address of each person or firm that owes delinquent taxes notice that there are delinquent taxes against the real property that is assessed in the taxpayer's name. 42-18104. Taxes for which lien may be sold A. The delinquent taxes for which a real property tax lien may be sold pursuant to this article are not limited to unpaid taxes for any particular year or years. B. The county treasurer shall advertise and sell the tax lien for the aggregate amount of all unpaid taxes that are delinquent on the property, together with all penalties, interest and charges respectively due for the current or preceding years, whether or not the aggregate amount or any part has been reduced to judgment, and any outstanding fees attached to the parcel. C. The failure to include the unpaid taxes of any year does not invalidate a sale for unpaid taxes that are delinquent for any other year or years. 42-18105. Limitation on sale for unpaid tax; exceptions No sale for an unpaid tax may be commenced at a date later than five years after delinquency unless: 1. The sale is advertised within the five year period. 2. The failure to advertise within five years of the delinquency is due to a restraining order or injunction issued by a court of competent jurisdiction. 42-18106. Delinquent tax list and notice of sale A. On or before December 31 of each year, the county treasurer shall prepare: 1. A list of all real property on which the taxes for prior tax years are unpaid and delinquent, describing the property as it is described on the tax roll. 2. An accompanying notice stating that the treasurer will sell a tax lien on each parcel of real property at public auction for taxes, penalties, interest and charges on the real property. B. The notice of sale shall include: 1. The name of the owner. 2. The property account number, if available, and the parcel number of the property. 3. The tax years for which taxes are delinquent. 4. The taxes, penalties, interest and charges assessed. C. If the board of supervisors by resolution elects to pursue any other remedy provided by law, the board may dispense with the notice of sale under this section, but that action does not affect sections 42-18109 and 42-18110. D. The county shall make available to the public on a county website the description of the property associated with a parcel number. 42-18107. Additional penalty on listed property A. A penalty of five dollars or five per cent of the delinquent taxes for which the tax lien is being sold, whichever is more, shall be added to the amount of taxes that are delinquent on each parcel of real property that is separately assessed and described in the list and notice. B. This penalty: 1. Is imposed and is due on January 1 after the list is prepared pursuant to section 42-18106. 2. Shall be collected by the county treasurer. 42-18108. Personal notice of proposed sale The county treasurer shall mail a copy of the notice of proposed sale to the owner of each parcel of property on the delinquent tax list at the owner's last known address. 42-18109. Publication and posting of list and notice A. The county treasurer shall post a correct copy of the list and notice required under section 42-18106 near the outer door of the office of the county treasurer. The list and notice shall remain posted for at least two weeks before the start date of the sale. B. The county treasurer shall publish a correct copy of the list and notice required under section 42-18106 at least one time in a newspaper of general circulation in the county. The publication shall be at least two weeks but not more than three weeks before the start date of sale stated in the notice. C. The newspaper that prints the list and notice required under section 42-18106 shall also post the list and notice from the first publication date through March 1 of the current year on the internet on a website that posts the legal notices of ten or more Arizona newspapers. 42-18110. Affidavits of posting and publication A. The county treasurer shall record an affidavit stating the posting of the delinquent tax list and notice of the tax lien sale. B. Immediately after the last publication, each publisher who publishes the list and notice on the order of the county treasurer shall deliver to the treasurer and record an affidavit of publication made by the publisher, manager or editor of the newspaper to whom the facts of publication are known. A publisher who fails to furnish and record the affidavit within ten days after the last publication shall not be paid for the publication of the list and notice. The recorded affidavit is prima facie evidence of the recited facts in any action in the courts of this state. 42-18111. Parcels; property description; designation of owner unnecessary A. If two or more lots or parcels are assessed as one parcel, the tax liens on them may be sold as a single tax lien on one parcel. B. The county assessor's parcel number and description of property with sufficient certainty to identify the quarter section or lot, block and tract may be used to describe real property in the delinquent tax list and notice of sale. C. For all other entries, notices, certificates, deeds, pleadings, judgments and proceedings made or had under this chapter, it is sufficient to designate the sections, townships, ranges, lots, blocks and portions by initial letters, figures and abbreviations. D. If a real property tax lien is offered for sale, it is not necessary to advertise or sell it as being against the property of any specific person. The sale is not invalid by reason of the fact that the property was assessed or advertised in the name of a person other than the rightful owner, or to an unknown person, if the description of the real property in the list and notice is sufficient to identify it and includes the amount of taxes for which the tax lien is advertised to be sold. 42-18112. Time of sale A. The tax lien sale shall be held in February. B. On the day designated in the list and notice, the county treasurer shall begin the sale of all tax liens on real property that is described in the list and notice on which the taxes and charges have not been paid. The county treasurer shall continue the sale from day to day, Sundays and holidays excluded, until the tax lien on each parcel has been offered for sale and no more bids are offered by purchasers. 42-18113. Procedure in the case of no bid; assignment to state A. If there is no bid for a tax lien, the county treasurer shall pass it for the time and shall reoffer it at the beginning of the sale on the next day until all tax liens are sold or until the county treasurer becomes satisfied that no more sales can be made. At that time the treasurer shall: 1. Assign to the state the property tax liens remaining unsold for the amount of the taxes, interest, penalties and charges. 2. Issue a certificate of purchase to the state as provided in other cases. B. If a tax lien has been assigned to the state: 1. Taxes that are assessed against that property are not payable until they have been derived from the sale or redemption of the property or from the assignment of a certificate of purchase pursuant to section 42-18122. 2. The rate of interest payable on redemption shall be as prescribed by section 42-18053. 42-18114. Successful purchaser A real property tax lien shall be sold pursuant to this article to the person who pays the whole amount of delinquent taxes, interest, penalties and charges due on the property, and who in addition offers to accept the lowest rate of interest on the amount so paid to redeem the property from the sale, which may not exceed the rate prescribed by, and computed pursuant to, section 42-18053. The lien bears interest at the bid rate from the first day of the month following the purchase of the tax lien. 42-18115. Easements and liens not extinguished by sale (L26, Ch. 66, sec. 1. Eff. until 10/1/28) A. The sale of a real property tax lien does not extinguish any easement on or appurtenant to the property. B. The sale of a real property tax lien does not extinguish any lien for an assessment levied pursuant to title 48, chapter 4, 6 or 14 or section 9-276 or 11-268. 42-18115. Easements and liens not extinguished by sale (L26, Ch. 66, sec. 2. Eff. 10/1/28) A. The sale of a real property tax lien does not extinguish any easement on or appurtenant to the property. B. The sale of a real property tax lien does not extinguish any lien for an assessment levied pursuant to title 48, chapter 4, 6 or 14 or section 9-276. 42-18116. Payment; resale or recovery on reneged bid; processing fee A. The purchaser of a tax lien shall pay the purchase price in cash at a time the county treasurer determines but within fifteen days after the close of the sale. B. If the purchaser fails to pay the amount due: 1. The county treasurer shall resell the tax lien if the sale has not been closed. 2. If the sale has been closed, the treasurer may either: (a) Recover the amount bid by civil action in a court of competent jurisdiction. (b) Prohibit the purchaser who failed to pay the amount due from purchasing tax liens from any county in this state for a period of not more than one year. C. The purchaser shall pay a processing fee of not more than $10 per tax lien. The treasurer shall deposit monies collected pursuant to this subsection in the taxpayers' information fund established by section 11-495. 42-18117. Record of tax lien sales The county treasurer shall make a correct record of all sales of real property tax liens, known as the record of tax lien sales, containing: 1. The date of sale. 2. A description of each parcel on which a tax lien was sold. 3. The name of the owner, if known. 4. The name of the purchaser. 5. The total amount of taxes, interest, penalties and charges for which the tax lien was sold. 6. The amount of subsequent taxes and interest paid by the purchaser. 7. The name of the assignee and the date of assignment of the certificate. 8. The name of the person redeeming and the date of redemption. 9. The total amount paid for redemption. 10. The name of any person to whom conveyed and the date of the deed. 42-18118. Certificate of purchase or registered certificate; form; assignment; fee A. The county treasurer shall make, execute and deliver a certificate of purchase to each purchaser at the sale for delinquent taxes or to each assignee. The treasurer may provide for a registered certificate in the treasurer's records in lieu of delivering a physical certificate. B. The certificate of purchase or registered certificate shall: 1. Describe the real property on which a tax lien is sold as it is described in the record of tax lien sales. 2. Recite the date of the sale. 3. State the name of the purchaser. 4. Recite the tax year or years for which the tax lien was sold. 5. Recite the amount of all taxes, interest, penalties and charges for which the tax lien was sold and the rate of interest payable in order to redeem. C. The certificate of purchase, whether registered or paper or whether issued to this state or to a person, is assignable by endorsement or as provided by section 42-18121.01. An assignment, when noted on the record of tax lien sales in the office of the county treasurer vests in the assignee all the right and title of the original purchaser. D. The county treasurer shall collect from the purchaser or assignee a fee of ten dollars for each certificate. 42-18119. Certificate of purchase as evidence of valid procedure The certificate of purchase or its certified copy is prima facie evidence of the correct performance and regularity of all acts pertaining to the tax lien sale and the validity and enforceability of the tax lien. 42-18120. Duplicate certificate of purchase; fee A. If a certificate of purchase is lost, destroyed or wrongfully withheld from the rightful owner, the purchaser of the certificate may file a notarized affidavit with the county treasurer attesting to the loss of the certificate. On presentation of the notarized affidavit, the county treasurer shall issue to the holder an exact duplicate of the certificate of purchase. B. The county treasurer shall collect a fee of five dollars for each duplicate certificate of purchase. 42-18121. Payment of subsequent taxes by certificate holder; separate certificate of purchase by assignment; fee A. On or after June 1, if a person who holds a certificate of purchase desires to pay subsequent taxes, accrued interest and related fees due on the property, the person shall exhibit the certificate or receipt of registered certificate to the county treasurer. The treasurer shall enter the amount of the payment on the certificate and on the record of tax lien sales. The amount of subsequent taxes bears interest at the rate stated in the certificate of purchase from the first day of the month following the purchase of the subsequent tax lien. The county treasurer shall collect a fee of five dollars from the holder of the certificate for making the entries. B. Beginning in calendar year 2016, on or after June 1 in a county with a population of more than three million persons if no prior year certificates of purchase are outstanding, if a person who holds a certificate of purchase for tax year 2014 and afterwards desires to pay subsequent taxes, the county treasurer shall issue a separate certificate of purchase by assignment for each subsequent year's taxes, accrued interest and related fees due on the property. The principal amount of each subsequent year's certificate of purchase bears interest at the rate stated in the original certificate of purchase exhibited by the person from the first day of the month following the purchase of the subsequent certificate. The treasurer shall collect a fee of five dollars for assignment of a certificate of purchase for each subsequent year. Except as provided by section 42-18201, subsection B, subsequent certificates of purchase by assignment carry the same foreclosure right as the original certificate of purchase, and partial payments shall be accepted by the treasurer as prescribed by section 42-18056, subsection C, by any party with a vested interest in the property. 42-18121.01. Subsequent purchaser; assignment A. If a person who holds a certificate of purchase does not exercise the option to pay subsequent taxes, accrued interest and related fees due on the property pursuant to section 42-18121, the county treasurer may require a person who desires to purchase a subsequent certificate of purchase on the property to acquire by assignment all currently outstanding certificates of purchase previously issued on the property. The county treasurer shall process the sale as an assignment on behalf of the previous holder of the certificate of purchase. B. An assignment made pursuant to this section vests in the person all the right and title of the original purchaser with the lien date effective from the original lien sale date. 42-18122. Resale of tax liens assigned to the state; fee A. If a tax lien is assigned to this state as provided by this article, the county treasurer shall sell, assign and deliver the certificate of purchase to any person who pays to the county treasurer the whole amount then due under the certificate, including interest, penalties and charges, and in addition the entire amount of subsequent taxes assessed on the property described in the certificate. B. The county treasurer shall collect a fee of not more than ten dollars from the assignee for making each assignment. 42-18123. Distribution of monies The county treasurer shall: 1. Distribute all monies collected or received under this chapter as delinquent or back taxes in the same manner and proportions as required by law with respect to other taxes. 2. Credit to the county general fund interest, penalties, charges and fees collected under this chapter in the process of collecting taxes, except as provided in section 42-18116, subsection C. 42-18124. Compromising taxes, interest and penalties; omission of tax or fund from action for collection A. If it appears to the board of supervisors that any property is not worth the amount of taxes, interest, costs and penalties due or that the tax lien on the property would not sell for that amount, the board may compromise the taxes, interest and penalties with the owner or with the holder of a certificate of purchase that was issued pursuant to section 42-18118. B. On payment to the county treasurer of the amount agreed on the treasurer shall: 1. Issue a certificate of redemption releasing the property from the tax lien. 2. Distribute the monies paid to the various funds to which the taxes are due in the proportion the amount received bears to the whole amount charged against the property for the current tax year. C. The board may: 1. Order that no action be brought on any specified property if in its judgment the property is not worth or will not bring an amount equal to the taxes, interest and costs. 2. Direct that any tax or fund, the validity of which is being contested in the courts, be omitted from any action brought under this article. The judgment rendered in an action in which the tax is omitted does not bar or affect a subsequent action for the tax so omitted. 3. Condition the relief under this section by requiring the holder of a certificate of purchase to complete a judicial foreclosure under article 5 of this chapter. D. If the board of supervisors determines that property described in subsection A of this section is also substantially contaminated with hazardous substances or petroleum, the board may reduce the lien for the delinquent taxes, interest, costs and penalties as follows: 1. The delinquent taxes, interest, costs and penalties may be reduced in an amount not to exceed the actual expenses to mitigate conditions at the property for: (a) Removal actions as defined by 42 United States Code section 9601. (b) Preparation and implementation of a remedial investigation and feasibility study pursuant to section 49-287.03. (c) Preparation and implementation of a remedial action plan pursuant to section 49-287.04. (d) Preparation and implementation of an agreement for work pursuant to section 49-282.05. (e) Preparation and implementation of a corrective action plan pursuant to section 49-1005. (f) Preparation and implementation of a work plan approved pursuant to section 49-177. 2. For property acquired after December 31, 2001, the expenses must have been incurred by or on behalf of the property owner within five years after acquiring title to the property. 3. For property acquired on or before December 31, 2001, the expenses must be incurred by or on behalf of the property owner on or before December 31, 2006. 4. Only expenses that are reasonable and necessary to remediate contamination at the property may be considered for purposes of this section. 5. Expenses that were inconsistent with or in violation of requirements imposed by the department of environmental quality may not be used to reduce taxes, interest, costs and penalties under this section. 6. A person that is a responsible party pursuant to section 49-283, or that person’s partner, officer, employee or relative, is not eligible to redeem the property from the reduced tax lien. For the purposes of this paragraph, "relative" means: (a) Spouse. (b) Parent or ancestor of a parent. (c) Child or descendant of a child. (d) Sibling. (e) Cousin, aunt, uncle, niece or nephew of the first degree. (f) The spouse of a relative listed in subdivisions (b) through (e). (g) A relative listed in subdivisions (b) through (e) by the half-blood or by adoption. 7. A person seeking a reduction under this subsection shall submit to the board of supervisors an affidavit attesting that: (a) The expenses were reasonable and necessary to address contamination at the property. (b) The person is not a responsible party pursuant to section 49-283 or a relative as described in this section. 8. The county treasurer shall apply the reduction in delinquent taxes, interest, costs and penalties pro rata among the jurisdictions imposing the taxes on the property and shall note the reduction in the delinquent tax record under section 42-18102. E. Subsection D of this section does not affect the personal liability of a property owner for acts or omissions that caused or contributed to the contamination. 42-18125. Erroneous sales If by mistake or wrongful act of the county treasurer, recorder or assessor, or as a result of double assessment, a real property tax lien is sold on property on which no tax is due, the county treasurer shall hold the purchaser harmless by paying the purchaser the amount of the principal and interest at the rate bid and endorsed on the certificate of purchase or ten per cent per year simple, whichever is less. 42-18126. Failure to perform duty by county treasurer; classification A county treasurer who knowingly refuses or fails to publish and post the list and notice of delinquent tax sales before February 15 or who knowingly refuses or fails to perform any of the duties imposed by this chapter is guilty of a class 2 misdemeanor. 42-18127. Expiration of lien and certificate; notice; applicability A. If the certificate of purchase is not redeemed and the purchaser or the purchaser's heirs or assigns fail to commence an action to foreclose the right of redemption as provided by this chapter within ten years after the last day of the month in which the original certificate of purchase, including any subsequent taxes paid, was acquired pursuant to section 42-18114, the certificate of purchase or registered certificate expires and the lien is void. B. Within three hundred sixty-five days before the expiration date, the county treasurer shall notify the purchaser by certified mail of the pending expiration. Within thirty days after expiration, the treasurer shall notify the purchaser by mail or email, if practicable, that the lien and certificate of purchase or registered certificate have expired. C. This section does not apply if, at the time of expiration: 1. The parcel for which the lien was purchased is subject to a judicial proceeding or a thirty-day notice pursuant to section 42-18202. 2. Other applicable law or a court order prohibits the commencement of an action to foreclose the right to redeem. The expiration date of the tax lien shall be extended to twelve months after the termination of such a prohibition. 42-18151. Who may redeem real property tax liens; persons owning partial interest A. A real property tax lien that is sold under article 3 of this chapter may be redeemed by: 1. The owner. 2. Any person that wants to pay on behalf of the owner by making a charitable gift. 3. The owner's agent, assignee or attorney. 4. Any person who has a legal or equitable claim in the property, including a certificate of purchase of a different date. B. A person who owns an interest in real property less than the whole may redeem a tax lien against that interest as a percentage of the entire liability reported by the county assessor by paying the proportionate part of the whole amount due. 42-18152. When lien may be fully redeemed; partial payment refund A. A real property tax lien may be fully redeemed at any time: 1. Within three years after the date of tax lien sale. 2. After three years but before the delivery of a treasurer's deed to the certificate of purchase holder or the certificate of purchase holder's heirs or assigns. B. A lien that has been partially redeemed under section 42-18056, subsection C must be fully redeemed before the delivery of a treasurer's deed to the purchaser. C. The county treasurer shall refund all partial payment amounts impounded under section 42-18056, subsection E to the person or persons or their heirs or assigns within thirty days after delivering the treasurer's deed to the purchaser or entry of a judgment directing the sale of the property for excess proceeds pursuant to article 6 of this chapter. 42-18153. Amount required for redemption To redeem a real property tax lien, a person must pay to the county treasurer: 1. The amount for which the real property tax lien was sold, with interest at the rate stated in the certificate of purchase. 2. The amount of all taxes accruing on the real property after the sale and paid by the purchaser and endorsed on the certificate of purchase, with interest on the subsequent taxes at the same rate as stated in the certificate of purchase. 3. Any statutory fees paid by the purchaser or the purchaser's assigns in connection with the certificate, except the processing fee imposed by section 42-18116, subsection C, with interest at the rate stated in the certificate of purchase except as otherwise provided by this chapter. 42-18154. Certificate of redemption; statement of partial payment; issuance; contents; fee A. If a person requests to redeem a real property tax lien that was sold under article 3 of this chapter, and if the county treasurer is satisfied that the person has the right to redeem the tax lien, and if the person pays the amount due, the county treasurer shall issue to the person a certificate of redemption. B. The certificate shall: 1. Describe the parcels on which the tax lien is redeemed. 2. State: (a) The date of redemption. (b) The amount paid. (c) By whom redeemed. C. If a person requests to make a partial payment on a certificate of purchase in a county with a population of more than three million persons and if the county treasurer is satisfied that the person has the right to make a partial payment and if the person pays the amount due pursuant to section 42-18056, subsection C, the treasurer shall issue to the person a statement of partial payment. The partial payment statement shall: 1. Identify the person or entity making the partial payment. 2. Describe the parcels on which the partial payment is made. 3. State: (a) The date of the partial payment. (b) The amount paid. (c) The amount remaining due to fully redeem the lien on the date of the partial payment. D. For each certificate of redemption and statement of partial payment, the county treasurer shall: 1. Make the proper entries in the treasurer's record of tax lien sales. 2. Collect a fee of five dollars for the first and last partial payment and ten dollars for a full redemption if no partial payments were made. E. A holder of a certificate of redemption may record the certificate in the office of the county recorder. 42-18155. Payment of redemption money to holder of certificate of purchase or registered certificate A. On demand of any person who is entitled to redemption money held by the county treasurer, the treasurer shall pay the money to that person on the surrender of the certificate of purchase or on the redemption of the registered certificate for the redeemed tax lien. B. If only a portion of the tax lien on the property described in the certificate of purchase or the registered certificate has been redeemed, the treasurer shall endorse on the certificate or annotate the record of the registered certificate the portion redeemed and the amount of money paid to the person holding the certificate and shall take a receipt for the money paid. 42-18201. Action to foreclose right to redeem; subsequent certificates of purchase by assignment A. Except as provided in subsection B of this section, at any time beginning three years after the sale of a tax lien but not later than ten years after the last day of the month in which the lien was acquired pursuant to section 42-18114, if the lien is not redeemed, the purchaser or the purchaser's heirs or assigns, or the state if it is the assignee, may bring an action to foreclose the right to redeem. The action to foreclose the right to redeem shall be filed in the superior court in the county in which the real property is located and shall name the county treasurer as a party to the action and may include the request to determine if the sale of the property to recover excess proceeds is reasonable pursuant to section 42-18204, subsection B. If any applicable law or court order prohibits bringing an action to foreclose the right to redeem, the limitation provided herein shall be extended twelve months following the termination of such prohibition. B. For a subsequent year certificate of purchase by assignment issued under section 42-18121, subsection B, at any time beginning three years after the date the subsequent year certificate of purchase was assigned but not later than ten years after the last day of the month in which the tax lien was assigned under section 42-18121, if the lien is not redeemed, the purchaser or the purchaser's heirs or assigns, or the state if it is the assignee, may bring an action to foreclose the right to redeem the lien represented by certificates of purchase acquired by assignment and held by the party that filed the action to foreclose. All certificates of purchase held by other parties remain in place. The action to foreclose the right to redeem shall be filed in the superior court in the county in which the real property is located and shall name the county treasurer as a party to the action. If any applicable law or court order prohibits bringing an action to foreclose the right to redeem, the limitation provided in this subsection shall be extended twelve months following the termination of the prohibition. 42-18202. Notice A. At least thirty days before filing an action to foreclose the right to redeem under this article, but not more than one hundred eighty days before such an action is commenced or may be commenced under section 42-18201, the certificate of purchase holder shall send notice of intent to file the foreclosure action by certified mail to: 1. The property owner of record according to the records of the county recorder in the county in which the property is located or to all of the following: (a) The property owner, as determined by section 42-13051, at the property owner's mailing address according to the records of the county assessor in the county in which the property is located. (b) The situs address of the property, if shown on the tax roll and if different from the property owner's address under subdivision (a) of this paragraph. (c) The tax bill mailing address according to the records of the county treasurer in the county in which the property is located if that address is different from the addresses under subdivisions (a) and (b) of this paragraph. 2. The treasurer of the county in which the real property is located. The county treasurer may not accept partial payments under section 42-18056, subsection C after the date the treasurer receives a notice of action to foreclose the right to redeem. B. The notice shall include: 1. The property owner's name. 2. The real property tax parcel identification number. 3. The county assessor's description of the real property. 4. The certificate of purchase number. 5. The proposed date of filing the action. 6. The following statement in substantially the following form: Notice: If you believe that your property has value beyond the tax burden on the property and you do not want to lose any interest or equity in the property, you must request an excess proceeds sale pursuant to section 42-18204, Arizona Revised Statutes. C. If the certificate of purchase holder: 1. Complies with subsection A, paragraph 1, subdivisions (a), (b) and (c) of this section, the certificate of purchase holder is considered to have substantially complied with the requirements of this section and is not required to send the notice to any other address. 2. Fails to send the notice required by this section, the certificate of purchase holder is considered to have substantially failed to comply with this section. A court may not enter any judgment to foreclose the right to redeem under this article until the certificate of purchase holder sends the notice required by this section. 42-18203. Application of law and rules of procedure A. The provisions of law relating to civil actions and rules of civil procedure control the proceedings in an action to foreclose the right to redeem, including the right of appeal. B. In an action to foreclose the right to redeem with respect to tax liens sold on real property of minors and legally incapacitated persons, the provisions of law relating to the prosecution of civil actions against persons under those disabilities apply. 42-18204. Judgment foreclosing right to redeem; effect (L26, Ch. 66, sec. 3 & Ch. 256, sec. 2. Eff. until 10/1/28) A. In an action to foreclose the right to redeem: 1. If the court finds that the tax lien sale is valid, the tax lien has not been redeemed and the defendant's request for an excess proceeds sale is unreasonable or the defendant did not request an excess proceeds sale, the court shall enter judgment: (a) Foreclosing the right of the defendant to redeem. (b) Directing the county treasurer to expeditiously execute and deliver to the party in whose favor judgment is entered, including the state, a deed conveying the property described in the certificate of purchase. 2. If the court finds that the tax lien sale is valid, the tax lien has not been redeemed and the defendant's request for an excess proceeds sale is reasonable, the court shall enter judgment: (a) Foreclosing the right of the defendant to redeem. (b) Directing the sale of the property pursuant to article 6 of this chapter. (c) Setting the opening bid for the property as the total of the amounts described in subsection B, paragraph 1, subdivisions (a), (b), (c) and (e) of this section and any other reasonable fees as determined by the court. B. A property owner whose right to redeem is being foreclosed or a certificate of purchase holder may request the court to determine if the sale of the property to recover excess proceeds is reasonable at any time before the court's judgment is effective pursuant to court rules. The court shall determine that the sale of the property for excess proceeds is reasonable if the sale price of the property is likely to be more than $2,500 above the total of the amounts described in paragraph 1 of this subsection. If a request is made for an excess proceeds sale, the following information shall be provided to the court for the purposes of determining if an excess proceeds sale is reasonable: 1. The certificate of purchase holder shall provide all of the following: (a) The costs related to filing the claim to foreclose the right to redeem, including estimated attorney fees and costs to be incurred through the date of the excess proceeds sale, if ordered. (b) The amount for which the real property tax lien was sold, with interest at a rate of sixteen percent per annum from the date of the tax lien sale through the date of the excess proceeds sale, if ordered. (c) The amount of any statutory fees the certificate of purchase holder paid in connection with the certificate of purchase, except the processing fee imposed by section 42-18116, subsection C, with interest at a rate of sixteen percent per annum from the date of the tax lien sale through the date of the excess proceeds sale, if ordered. (d) The amount of all other recorded state liens or encumbrances on the state property as indicated on a title report provided by the certificate of purchase holder, including other years in which taxes are delinquent. For the purposes of this subdivision, the certificate of purchase holder does not have to determine the actual balance owed on any lien or encumbrance on the property, except for property taxes owed. (e) The estimated cost of the sale of property pursuant to article 6 of this chapter. (f) Any other evidence relating to the value of the property or objecting to the excess proceeds sale that the certificate of purchase holder deems necessary. 2. The property owner whose right to redeem is being foreclosed shall provide a reasonable estimate of the market value of the property. C. After entering judgment the parties whose rights to redeem the tax lien are thereby foreclosed have no further legal or equitable right, title or interest in the property subject to the right of appeal and stay of execution as in other civil actions. D. The foreclosure of the right to redeem does not extinguish any of the following: 1. An easement on or appurtenant to the property. 2. A lien for an assessment levied pursuant to title 48, chapter 4, 6, 14 or 18 or section 9-276 or 11-268. For the purposes of this paragraph, assessment does not include an abatement lien imposed under section 9-499. 3. If the court finds that the request for an excess proceeds sale is reasonable, the property owner's interest in the excess proceeds from the sale of the property pursuant to article 6 of this chapter. 42-18204. Judgment foreclosing right to redeem; effect (L26, Ch. 66, sec. 4 & Ch. 256, sec. 2. Eff. 10/1/28) A. In an action to foreclose the right to redeem: 1. If the court finds that the tax lien sale is valid, the tax lien has not been redeemed and the defendant's request for an excess proceeds sale is unreasonable or the defendant did not request an excess proceeds sale, the court shall enter judgment: (a) Foreclosing the right of the defendant to redeem. (b) Directing the county treasurer to expeditiously execute and deliver to the party in whose favor judgment is entered, including the state, a deed conveying the property described in the certificate of purchase. 2. If the court finds that the tax lien sale is valid, the tax lien has not been redeemed and the defendant's request for an excess proceeds sale is reasonable, the court shall enter judgment: (a) Foreclosing the right of the defendant to redeem. (b) Directing the sale of the property pursuant to article 6 of this chapter. (c) Setting the opening bid for the property as the total of the amounts described in subsection B, paragraph 1, subdivisions (a), (b), (c) and (e) of this section and any other reasonable fees as determined by the court. B. A property owner whose right to redeem is being foreclosed or a certificate of purchase holder may request the court to determine if the sale of the property to recover excess proceeds is reasonable at any time before the court's judgment is effective pursuant to court rules. The court shall determine that the sale of the property for excess proceeds is reasonable if the sale price of the property is likely to be more than $2,500 above the total of the amounts described in paragraph 1 of this subsection. If a request is made for an excess proceeds sale, the following information shall be provided to the court for the purposes of determining if an excess proceeds sale is reasonable: 1. The certificate of purchase holder shall provide all of the following: (a) The costs related to filing the claim to foreclose the right to redeem, including estimated attorney fees and costs to be incurred through the date of the excess proceeds sale, if ordered. (b) The amount for which the real property tax lien was sold, with interest at a rate of sixteen percent per annum from the date of the tax lien sale through the date of the excess proceeds sale, if ordered. (c) The amount of any statutory fees the certificate of purchase holder paid in connection with the certificate of purchase, except the processing fee imposed by section 42-18116, subsection C, with interest at a rate of sixteen percent per annum from the date of the tax lien sale through the date of the excess proceeds sale, if ordered. (d) The amount of all other recorded state liens or encumbrances on the state property as indicated on a title report provided by the certificate of purchase holder, including other years in which taxes are delinquent. For the purposes of this subdivision, the certificate of purchase holder does not have to determine the actual balance owed on any lien or encumbrance on the property, except for property taxes owed. (e) The estimated cost of the sale of property pursuant to article 6 of this chapter. (f) Any other evidence relating to the value of the property or objecting to the excess proceeds sale that the certificate of purchase holder deems necessary. 2. The property owner whose right to redeem is being foreclosed shall provide a reasonable estimate of the market value of the property. C. After entering judgment the parties whose rights to redeem the tax lien are thereby foreclosed have no further legal or equitable right, title or interest in the property subject to the right of appeal and stay of execution as in other civil actions. D. The foreclosure of the right to redeem does not extinguish any of the following: 1. An easement on or appurtenant to the property. 2. A lien for an assessment levied pursuant to title 48, chapter 4, 6, 14 or 18 or section 9-276. For the purposes of this paragraph, assessment does not include an abatement lien imposed under section 9-499. 3. If the court finds that the request for an excess proceeds sale is reasonable, the property owner's interest in the excess proceeds from the sale of the property pursuant to article 6 of this chapter. 42-18205. County treasurer's deed; form A. On receiving a certified copy of a judgment foreclosing the right to redeem issued pursuant to section 42-18204, subsection A, paragraph 1 and a fee of $50 per parcel, the county treasurer shall execute and deliver to the party in whose favor the judgment was entered a deed conveying the pro