SB286 Alabama 2016 Session

Summary

Primary Sponsor

Trip Pittman

Republican

Session

Regular Session 2016

Title

Interest, due or paid on properties reduced subject to tax sale, Secs. 40-10-75, 40-10-76, 40-10-77, 40-10-83, 40-10-121, 40-10-122 am'd.

Summary

SB286 would cut the interest rate on tax sale-related actions from 12% to 7.5% for actions involving taxes delinquent after January 1, 2017, including redemption of tax-sold property.

What This Bill Does

If passed, the bill amends six code sections to set the interest rate at 7.5% for actions related to taxes delinquent on or after 1/1/2017. It keeps the 12% rate for actions involving tax sales that occurred before 1/1/2017. It also changes redemption-related calculations to reflect the 7.5% rate for post-2017 tax sales, and it allows online redemption transactions. The act becomes effective October 1, 2016 for actions delinquent after January 1, 2017.

Who It Affects

• Landowners or parties involved in tax sale litigation or redemption of tax-sold property, who would see a lower interest charge (7.5% instead of 12%) on amounts awarded or paid for post-2017 cases.
• Tax purchasers, their heirs/assignees, and redemptioners, whose judgments, liens, and redemption payments would be calculated using the 7.5% rate for post-2017 tax sales and related actions.

Key Provisions

• Amends sections 40-10-75, 40-10-76, 40-10-77, 40-10-83, to set interest at 7.5% for actions related to taxes delinquent on or after 1/1/2017, with 12% continuing only for pre-2017 actions.
• Amends sections 40-10-121 and 40-10-122 to apply a 7.5% interest rate to redemption and related actions for post-2017 tax sales, and to allow online redemption processes.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Interest