HB 1410 — Protecting taxpayers from home foreclosure.

ENGROSSEDH-0394.1 SUBSTITUTE HOUSE BILL 1410 State of Washington 67th Legislature 2021 Regular Session By House Finance (originally sponsored by Representatives Volz, Valdez, Ybarra, Stokesbary, Chase, Dufault, Leavitt, Vick, Dolan, Sutherland, Walen, Chambers, Walsh, Robertson, Caldier, Griffey, Riccelli, Jacobsen, Fitzgibbon, Ormsby, and Harris-Talley)Harris- READTalley FIRSTRead TIMEfirst 02/22/21.time 01/28/21.

Referred to Committee on Finance.

1 ESHBHB 1410 Tax statements.

2 ESHBHB 1410 Delinquent tax payments:

(5)(a)(5) Except((Except as provided in (c) of this subsection, delinquentdelinquent)) Delinquent taxes under this section are subject to interest ((atat the rate of twelve percent per annum))annum as provided in this subsection computed on a monthly basis on the amount of tax delinquent from the date of delinquency until paid.

InterestIn ratesaddition, are:((delinquent taxes under this section are subject to penalties as follows:

(i)(a) TwelveA penalty of three percent perof annumthe foramount allof nonresidentialtax realdelinquent propertyis andassessed foron residentialthe realtax propertydelinquent withon greaterJune than1st fourof unitsthe peryear taxablein parcel;which the tax is due.

or(b) (ii)An Nineadditional penalty of eight percent peris annumassessed foron allthe residentialdelinquent realtax propertyamount withon fourDecember or1st fewerof unitsthe peryear taxablein parcel.which the tax is due.

(b)(c) InIf addition,a delinquenttaxpayer taxesis successfully participating in a payment agreement under subsection (15)(b) of this section areor subjecta partial payment program pursuant to subsection (15)(c) of this section, the county treasurer may not assess additional penalties ason follows:delinquent taxes that are included within the payment agreement.

(((a)Interest A)) (i) For nonresidential real property and forpenalties residentialthat realhave propertybeen withassessed greaterprior thanto fourthe unitspayment peragreement taxableremain parcel,due aand penaltypayable ofas threeprovided percentin of the amountpayment ofagreement)) tax delinquent is assessed on the taxfollowing delinquentremain ondue Juneand 1stpayable ofas theprovided year in whichany thepayment taxagreement: is due.

(((b)(a) An))Interest (ii)that Forhas nonresidentialbeen real property and for residential real property with greater than four units per taxable parcel, an additional penalty of eight percent is assessed onprior theto delinquent tax amount on December 1st of the yearpayment inagreement; which the tax is due.

(iii)and For(b) residentialPenalties, realassessed propertyprior withto fourthe oreffective fewerdate unitsof perthis taxablesection, parcel,that nohave penaltiesbeen mayassessed beprior assessed.to the payment agreement.

(c)(i) If a taxpayer is successfully participating in a payment agreement under subsection (15)(b) of this section or a partial payment program pursuant to subsection (15)(c) of this section, the county treasurer may not assess additional penalties on delinquent taxes that are included within the payment agreement.

Interest and penalties that have been assessed prior to the payment agreement remain due and payable as provided in the payment agreement.

(ii) The following remain due and payable as provided in any payment agreement:

(A) Interest that has been assessed prior to the payment agreement;

and p.

3 ESHB 1410 (B) Penalties assessed prior to the effective date of this act that have been assessed prior to the payment agreement.

and (c) Where the taxpayer can pay his or her property taxes directly and contact information, including but not limited to the phone number,p. for the statewide foreclosure hotline recommended by the Washington state housing finance commission.

3 HB 1410 number, for the statewide foreclosure hotline recommended by the Washington state housing finance commission.

p.State of emergency.

4 ESHB 1410 State of emergency.

(13)p. The direct cost of foreclosure and sale of real property, and the direct fees and costs of distraint and sale of personal property, for delinquent taxes, must, when collected, be credited to the operation and maintenance fund of the county treasurer prosecuting the foreclosure or distraint or sale;

4 HB 1410 (13) The direct cost of foreclosure and sale of real property, and the direct fees and costs of distraint and sale of personal property, for delinquent taxes, must, when collected, be credited to the operation and maintenance fund of the county treasurer prosecuting the foreclosure or distraint or sale;

p.(b)(i) The treasurer may provide, by electronic means or otherwise, a payment agreement that provides for payment of current year taxes, inclusive of prepayment collection charges.

5 ESHB 1410 (b)(i) The treasurer may provide, by electronic means or otherwise, a payment agreement that provides for payment of current year taxes, inclusive of prepayment collection charges.

The payment agreement must be signed by the taxpayer and treasurer or the treasurer's deputy prior to the sending of an electronic or alternativep. bill, which includes a payment plan for past due delinquent taxes and charges.

5 HB 1410 alternative bill, which includes a payment plan for past due delinquent taxes and charges.

p.All other assessments, fees, rates, and charges are delinquent after the due date.

6 ESHB 1410 All other assessments, fees, rates, and charges are delinquent after the due date.

All tax payments received by a treasurer from a taxpayer paying delinquent yearp. taxes must be applied first to the oldest delinquent year unless such taxpayer requests otherwise.

6 HB 1410 year taxes must be applied first to the oldest delinquent year unless such taxpayer requests otherwise.

p.(b) "Internet" has the same meaning as provided in RCW 19.270.010.

7 ESHB 1410 (b) "Internet" has the same meaning as provided in RCW 19.270.010.

87 ESHBHB 1410