How is the purchase price of a tax lien calculated, and how is interest calculated upon redemption of the lien?
When a county treasurer offers tax liens for sale for the purpose of collecting delinquent property taxes, the treasurer calculates the taxes due, penalties, charges, and the interest on the amount due through February, the month of sale. The successful purchaser of a lien is the person who pays the whole amount of delinquent taxes, interest, penalties, and charges due on the property and offers the lowest rate of interest not to exceed 16 percent. When property owners redeem liens, the treasurer calculates the interest accrued on the liens; the property owners pay the liens purchase price plus the accrued interest; and the treasurer forwards the amounts collected to the lien holders in satisfaction of the liens. Interest should begin to accrue in March, not February, and a partial month is considered a whole month for the purpose of this calculation. For example, for a tax lien purchased in February and redeemed any time in May, a county treasurer should collect the liens purchase pri
