Defaulted Taxes Installment Plan
Can I pay my delinquent taxes in payments?
Answer: Yes. The Installment Plan of Redemption (5-pay plan) is a plan that allows a taxpayer the ability to pay delinquent taxes in five (5) installments.
It is strongly recommended that prior to applying for the Installment Plan of Redemption, you contact your lender/mortgage company to ensure they allow the payment plan to pay tax defaulted taxes.
Who may apply for the Installment Plan of Redemption?
Answer: Any taxpayer that does not have defaulted taxes for more than five (5) years.
How do I apply for the installment plan?
Answer: Contact the Tax Collector's Office and request an application for the Installment Plan of Redemption.
Contact: Treasurer-Tax Collector
Shasta County Administration Center
1450 Court Street, Ste. 227
Redding, CA 96001
Phone: 530-225-5511
Fax: 530-245-6488
Correspondence: Treasurer -Tax Collector
P.O. Box 991830
Redding, CA 96099-1830
Is there a fee?
Answer: Yes, there is a startup fee.
Is there a minimum installment payment that must be made to open the plan?
Answer: To successfully open an Installment Payment Plan of Redemption account you must pay:
- A minimum payment of 20% of the total tax amount including penalty and interest charges 1.5% per month).
- All current year taxes must be paid on or before April 10. If during the course of an installment plan the current taxes are not paid by April 10, the plan is in default.
You will receive once a year, an Installment Plan of Redemption statement indicating the minimum amount required for that installment payment. Payoff payments are accepted anytime before the 5th and final payment is due.
Does interest continue to accrue while participating in the installment plan?
Answer: Yes! Be aware that the plan incurs a charge of 1.5% per month on the unpaid balance.
What happens if I do not keep my plan current or up to date?
Answer: If the first account defaults, a new installment plan may not be opened until July 1 of the following fiscal year. Previous payments will be treated as partial payments and will be credited after the down payment is calculated for the new plan. Please be aware that an Installment Plan of Redemption cannot be opened after the property becomes Subject To Power To Sell. This occurs when the property has been delinquent for more than five years.
Example:
If you have delinquent taxes from the 2016-2017 tax year, as of July 1, 2022, you CANNOT participate in the installment plan. You must pay in full the amount of outstanding taxes to keep the property from being sold at Public Auction, February 2023.
