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5160-5162 Processing Procedures and Requirements: Undivided Interest

5160. GENERAL APPLICATIONS
Applications for separate valuation and redemption of undivided interests are handled in the same manner as all other applications for separate valuation.

5161. REDEMPTION AMOUNT (SEGREGATED PORTION)
The amount necessary to redeem any segregated parcel of property is the sum of the following (Rev. & Tax. Code §4156):

1) The amount of "defaulted taxes" on the parcel;

2) Delinquency penalties and costs, which are computed by first determining the ratio factor (using the principle set forth in the example under M-1265) and then separately multiplying the delinquency penalties and costs for each year by that factor;

3) Redemption penalties computed on the amount of "defaulted taxes," including any liens levied against the property for each of the years it was delinquent; and

4) A full redemption fee (M-5226 et seq.). The redemption fee is never prorated.

If the portion of the property being redeemed is subject to sale and a Notice of Power to Sell Tax-Defaulted Property is recorded, a recording fee must also be collected for the Rescission of Notice of Power to Sell Tax-Defaulted Property, and actual and reasonable costs incurred (Rev. & Tax. Code §4112(a)) must be collected to cover the cost of obtaining the names and addresses of parties of interest, in accordance with Revenue and Taxation Code section 4675, and of mailing the notice, as required by Revenue and Taxation Code sections 3701 and 3799 (M-5400)

5162. SEGREGATED UTILITY ROLL
If an applicant brings a duly executed and recorded document attesting ownership of a parcel assessed on the State Board of Equalization roll and already tax-defaulted, he/she should be directed to the county auditor. The auditor will obtain the description of the property sought to be separately valued from the recorded conveyance, the parcel number of the "parent" parcel as assessed on the utility roll, the corporation's (seller's) name, and other information pertinent to the transaction.

The auditor will forward the documentation to the State Board of Equalization, Valuation Division, P.O. Box 942879, Sacramento, California, 94279-0061, and will request the assessed values for the years delinquent.

Upon receipt of the values, the auditor transmits them to the tax collector, who enters them in the proper records and computes the redemption amount in the usual manner.  See M-5154 and M-5161.