Laws, Regulations & Annotations

Property Taxes Law Guide – Revision 2013
 

Revenue and Taxation Code

Property Taxation

Part 4. Levy of Tax

CHAPTER 2. Effect of Tax

Section 2191.4

2191.4. Lien upon all property in county. From the time of filing the certificate for record pursuant to Section 2191.3, the amount required to be paid together with interest and penalty constitutes a lien upon all personal and real property in the county owned by and then assessed to and in the same name as the assessee named in the certificate or acquired by him or her in that name before the lien expires, except that the lien upon unsecured property shall not be valid against a purchaser for value or encumbrancer without actual knowledge of the lien when he or she acquires his or her interest in the property. The lien has the force, effect, and priority of a judgment lien and continues for 10 years from the time of the recording of the certificate unless sooner released or otherwise discharged.

Within 10 years from the date of the recording of the certificate or within 10 years from the date of the last extension of the lien, the lien may be extended by filing for record a new certificate in the office of any county recorder and from the time of the filing the lien as obtained under the original certificate shall be extended to all personal and real property in the county owned by the assessee for 10 years unless sooner released or otherwise discharged. Execution shall issue upon the lien upon request of the tax collector or the official collecting taxes on the unsecured roll in the same manner as execution may issue upon other judgments, and sales shall be held under that execution as prescribed in the Code of Civil Procedure.

History.—Added by Stats. 1961, p. 1486, in effect September 15, 1961. Stats. 1963, p. 2249, in effect September 20, 1963, added the words "and real property" in both paragraphs, and the words "as to personal property" in the first paragraph. Stats. 1967, p. 2795, in effect November 8, 1967, substituted present language from "county owned by" to "before the lien expires", substituted "upon unsecured property" after "except that the lien" in the first sentence of the first paragraph substituted "10" for "three" throughout the section; and substituted "any" for "the" prior to the "county recorder", added "as obtained under the original certificate" after "filing the lien" and substituted "assessee" for "taxpayer" in the first sentence of the second paragraph. Stats. 1997, Ch. 546 (SB 1107), in effect January 1, 1998, substituted "the" for "such" after "named in", added "or her" after "by him", substituted "that" for "such" before "name before", added "or she" after "when he" and added "or her" after "acquires his" in the first sentence of the first paragraph, substituted "the" for "such" after "time of" in the first sentence, and added the second sentence of the second paragraph.

Priority in corporate dissolution.—This section gives unpaid taxes a priority over unsecured creditors upon the filing of the certificate irrespective of whether the filing occurs before or after the start of the dissolution proceedings. In re Trinity Tractor Co., 3 Cal.App.3d 428.

Trustee in bankruptcy.—The lien of a county under this section on personal property is not valid as against a bona fide purchaser and hence, is invalid against a trustee in bankruptcy. In re Cummins, 656 F.2d 1262.

Encumbrancer without knowledge.—The lien of a county under this section is not valid as against an encumbrancer without actual knowledge of the lien when the encumbrancer acquires his interest in the property. CIT Corp. v. United States, 344 F.Supp. 1272.

Subordinate to homestead.—A prior recorded homestead takes precedence over tax liens recorded against the homesteaded property for amounts assessed for personal property taxes on personal property which has never been situated on the homesteaded property. Curtis v. Kern County, 37 Cal.App.3d 704.