Tennessee § 67-5-1512 - Certification of board action — Penalties and interest.

§ 67-5-1512. Certification of board action — Penalties and interest.

Upon the hearing of any appeal and complaint, the state board of equalization or the assessment appeals commission under § 67-5-1502 having made its determination of the assessment of the property subject to the appeal and complaint, the board shall issue, upon request, an official certificate relative to the action of the state board or the assessment appeals commission, as the case may be. The official certificate shall show the description of the property and the assessment as determined by the state board of equalization or the assessment appeals commission, as the case may be. The board shall provide written notice of its final actions on appeals and complaints to the parties and to others upon request. Written notice includes notification by electronic means, and the record of actions or notice may be preserved in digital or electronic format. Penalty and interest otherwise due on delinquent property taxes does not accrue while an appeal of the assessment is pending before the county or state boards of equalization if the taxpayer, before the delinquency date, pays the undisputed portion or pays the full tax due. For purposes of this subsection (b), “undisputed portion” means the amount the taxpayer would owe based on the taxpayer's good faith claim for relief. If the full tax due is paid, the city or county collecting official may decline to accept the disputed portion of tax. Delinquency penalty and interest postponed under this subsection (b) begins to accrue thirty (30) days after issuance of the final assessment certificate of the state board of equalization and until the tax is paid. On motion of the city or county to whom tax is owed, the state board of equalization shall dismiss the appeal of any taxpayer who fails to pay delinquent taxes that have accrued on property that is the subject of the appeal, or who fails to pay at least the undisputed tax related to a properly appealed assessment. Any additional tax due following the appeal will accrue interest from the delinquency date at the composite prime rate published by the federal reserve board as of the delinquency date, minus two (2) points. Any tax found refundable following the appeal will accrue interest from the delinquency date at the composite prime rate published by the federal reserve board as of the delinquency date, minus two (2) points. Sixty (60) days after issuance of the final assessment certificate of the state board of equalization, the interest rate on a deferred refund shall increase two (2) points until the refund is finally paid. For purposes of this subsection (d), “deferred refund” means the amount owed to the taxpayer, excluding any penalties and interest. Acts 1973, ch. 226, § 10; 1974, ch. 771, § 11; 1975, ch. 171, § 10; Acts 1980, ch. 533, §§ 1-5; T.C.A., § 67-841; Acts 1986, ch. 627, § 1; 1988, ch. 795, § 19; 1989, ch. 291, § 3; 1989, ch. 550, §§ 3, 22; 1990, ch. 1045, §§ 1, 2, 4; 1993, ch. 315, § 11; 1996, ch. 787, §§ 2, 9, 10; 1997, ch. 197, § 1; 2003, ch. 385, § 1; 2007, ch. 332, § 1; 2008, ch. 680, § 2; 2011, ch. 32, § 2; 2011, ch. 77, § 1; 2014, ch. 691, §§ 3, 4; 2020, ch. 521, §§ 3, 4. Compiler's Notes. Acts 1989, ch. 550, §§ 8-21 were deemed local by the code commission and not codified in this code. Acts 1989, ch. 550, § 26 provided that the amendment to this section by § 22 of that act took effect September 1, 1990, but was applicable for adoption of the budget for the fiscal year beginning July 1, 1991. Former subsection (c), concerning refund of property taxes after final action, was transferred to § 67-5-1809 in 2003. Acts 2003, ch. 385, § 3 provided that the act shall not apply to refunds presently due any taxpayer. Amendments. The 2020 amendment rewrote (b), which read: “Penalty and interest otherwise due on delinquent property taxes shall not accrue while an appeal of the assessment is pending before the county or state boards of equalization; provided, that the taxpayer, before the delinquency date, either pays the full tax due or the amount the taxpayer would owe based on the taxpayer's good faith claim for relief. The city or county collecting official may decline to accept the disputed portion of tax. Any tax later found to be refundable, or any additional tax due following the appeal, will accrue interest from the delinquency date at the composite prime rate published by the federal reserve board as of the delinquency date, minus two (2) points. On motion of the city or county to whom the tax is owed, the state board of equalization will dismiss the appeal of any taxpayer who fails to pay delinquent taxes that have accrued on property that is the subject of the appeal, or who fails to pay at least the undisputed tax related to a properly appealed assessment. Taxes related to a properly appealed assessment before the county and state boards of equalization, shall not be deemed delinquent if the taxpayer has paid at least the undisputed portion of tax while the appeal is pending. Delinquency penalty and interest postponed under this section shall begin to accrue thirty (30) days after issuance of the final assessment certificate of the state board of equalization and until the tax is paid.”; rewrote (c), which read: “Notwithstanding other provisions of the law, the interest rate on a deferred refund shall increase two (2) points from the date of the deferral sixty (60) days after the board of equalization decision is rendered until the refund is finally paid”; and added (d). Effective Dates. Acts 2020, ch. 521, § 5. March 6, 2020.