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1020-1023 General Overview: Discharge of Accountability

1020. WHEN COST OF COLLECTION IS UNJUSTIFIED
Any county department, officer, or employee charged by law with the collection of any county tax assessment, penalty or cost, license fees or money owing the county for any reason, that is due and payable, may file a verified application with the board of supervisors for discharge from accountability for the collection of the money owing the county for any reason in accordance with sections 25257 - 25259.5 of the Government Code (Rev. & Tax. Code §2611.1).

When the amount owed is too small to justify the cost of collection of any tax, assessment, penalty, cost, license fee, or money owing the county, for any reason, that is due and payable, or when collection enforcement is impracticable, an application may be filed with the board of supervisors asking for a discharge from accountability for its collection (Gov. Code §25257). The board of supervisors may adopt, with the approval of a majority of its entire membership, a resolution that authorizes and designates the county auditor as the officer to exercise the authority of the board (Gov. Code §25259.5).

No discharge from accountability obtained shall be construed to release any person other than the person who obtained that discharge from an obligation to collect amounts that are due and owing (Gov. Code §25259). The board may order the discharge and instruct the auditor to adjust tax charges accordingly (Rev. & Tax. Code §2611.3).

The application to the board of supervisors must include (Rev. & Tax. Code §2611.2):

1) A statement of the nature of the amount owing;

2) The names of the assessees or persons liable and the amount owed by each;

3) The estimated cost of collection; and

4) Any other fact warranting the discharge, except where the board of supervisors determines that the circumstances do not warrant the furnishing of detailed information.

1021. WHEN AMOUNT IS $20 OR LESS
Any tax, assessment, penalty, cost, license fee, or money owing to the county, where the amount is twenty dollars ($20) or less, may be waived without authorization of the board of supervisors or approval of the county counsel (Rev. & Tax. Code §2611.4). A waiver shall not be construed as releasing any person from payment that is due and owing the county (Rev. & Tax. Code §2611.4).

NOTE: A charge of twenty dollars ($20) or less may be canceled in accordance with provisions of Revenue and Taxation Code section 4986.8 (M-1550).

1022. CASH DIFFERENCE FUND
The county has the option to establish a cash difference fund, when authorized by resolution of the board of supervisors. This fund is used to increase the amount tendered to the county for the payment of any tax, assessment, penalty, cost or interest that is due and owing the county when a difference of ten dollars ($10) or less exists. A record of each use of the fund shall be maintained, containing sufficient information to identify the name of the person whose account was credited and listing the amount of the difference.

The cash difference fund may be expended, maintained, or replenished by accounting entries into a cash difference account and an overage account maintained in the county automated accounting system. All transfers between the fund and the accounts may be made and retained in electronic data-processing equipment, and no written report, warrant, special warrant, or check warrant need be prepared by the auditor or treasurer. The county auditor may replenish the cash difference account by a journal entry or electronic funds transfer from the county's general fund (Rev. & Tax. §2611.5 and Gov. Code §29380.1).

1023. CASH OVERAGE FUND
When the amount paid to the county on any tax, assessment, penalty, cost, and interest exceeds the amount due the county, and the excess does not exceed ten dollars ($10), the excess amount may be deposited into the overage account. If the excess amount is not so deposited, it should be refunded to the person who made the payment (Rev. & Tax. Code §2611.5; Gov. Code §§29370-29375, 29380.1).