AGENDA CAPTION:
Title
Consider approval of Resolution 2020-111R, authorizing a property tax refund of $80.73 assessed on the property located at 705 Crystal Cove, San Marcos, Texas for Tax Year 2019 as allowed by Section 33.011(k) of the Texas Property Tax Code; and declaring an effective date.
Body
Meeting date: June 2, 2020
Department: Finance
Amount & Source of Funding
Funds Required: $80.73
Account Number: 10000000.40020
Funds Available: Click or tap here to enter text.
Account Name: Penalty & Interest on Delinquent Taxes
Fiscal Note:
Prior Council Action: Click or tap here to enter text.
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Background Information:
At some point during the 2019 tax year, Ms. Clapp was no longer required to fund an escrow account through her mortgage company. However, the mortgage company had already reached out to the Tax Office to have her bill sent directly to them. They did not mail a copy of the bill to Ms. Clapp, as required by Section 31.01(j) of the Texas Property Tax Code. The taxes, penalty and interest were paid on March 30, 2020 (which is within the required 21 days from the date the taxpayer knew of the delinquency).
The county has approved their portion of the refund.
Texas Tax Code 33.011(k) reads as follows:
The governing body of a taxing unit may waive penalties and interest on a delinquent tax if:
(1) the property for which the tax is owed is subject to a mortgage that does not require the owner of the property to fund an escrow account for the payment of the taxes on the property;
(2) the tax bill was mailed or delivered by electronic means to the mortgagee of the property, but the mortgagee failed to mail a copy of the bill to the owner of the property as required by Section 31.01 <http://www.statutes.legis.state.tx.us/GetStatute.aspx?Code=TX&Value=31.01>(j); and
(3) the taxpayer paid the tax not later than the 21st day after the date the taxpayer knew or should have known of the delinquency.
Council Committee, Board/Commission Action:
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Alternatives:
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Recommendation:
Staff recommends refunding penalties and interest in the amount of $80.73