Laws, Regulations & Annotations

Property Taxes Law Guide – Revision 2015

Revenue and Taxation Code

Property Taxation

Part 8. Distribution

CHAPTER 1.3. Distribution of Proceeds From Sale of Tax-Deeded Property

Section 4674

4674. Distribution of surplus. [Repealed by Stats. 1976, Ch. 113,p. 176, in effect January 1, 1977.]

4674. Excess proceeds. Any excess in the proceeds deposited in the delinquent tax sale trust fund remaining after satisfaction of the amounts distributed under Sections 4672, 4672.1, 4672.2, 4673, and 4673.1 shall be retained in the fund on account of, and may be claimed by parties of interest in the property as provided in, Section 4675. At the expiration of one year following the recordation of the tax deed to the purchaser, any excess proceeds not claimed under Section 4675 shall be distributed as provided in paragraph (2) of subdivision (a) of Section 4673.1, except prior to the distribution, the county may deduct those costs of maintaining the redemption and tax-defaulted property files, and those costs of administering and processing the claims for excess proceeds, that have not been recovered under any other provision of law.

History.—Added by Stats. 1976, Ch. 113, p. 176, in effect January 1, 1977. Stats. 1984, Ch. 866, in effect January 1, 1985, added ", except prior to . . . any other provision of law" after "subdivision (a) of Section 4673.1" in the second sentence. Stats. 1985, Ch. 316, effective January 1, 1986, substituted "the" for "such" after "retained in" in the first sentence, and substituted "recordation" for "execution" after "following the" and substituted "tax-defaulted" for "tax-deeded" after "redemption and" in the second sentence. Stats. 1988, Ch. 830, in effect January 1, 1989, added "4672.2," after "4672.1". Stats. 1992, Ch. 523, in effect January 1, 1993, substituted "county" for "tax collector" after "the"; and ", and those . . . proceeds, that" for "which" after "files" in the second sentence.

Construction.—A party which had only a fractional share in property before its sale by the state is entitled only to its fractional share of the excess of proceeds remaining after satisfaction of the costs of sale and the unpaid tax assessments, not the entire excess. First Corporation Inc. v. Santa Clara County, 146 Cal.App.3d 841.