HLS 24RS-427 REENGROSSED
2024 Regular Session
HOUSE BILL NO. 659
BY REPRESENTATIVE PHELPS
TAX/PROPERTY: Increases certain penalties relative to certain prohibited actions
regarding tax sale property
1 AN ACT
2To amend and reenact R.S. 47:2158.1(B) and 2231.1(B), relative to tax sale property; to
3 provide for the rights of owners of certain tax sale property; to provide for penalties
4 for certain violations; to increase the penalties for certain violations; and to provide
5 for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 47:2158.1(B) and 2231.1(B) are hereby amended and reenacted to
8read as follows:
9 §2158.1. Prohibition of certain actions; exceptions
10 * * *
11 B. The acquiring person shall not be entitled to or charge any rental or lease
12 payments to the owner or occupants and shall not place any constructions on or make
13 any improvements to the tax sale property during the redemptive period. An
14 acquiring person who violates the provisions of this Section shall be subject to a
15 penalty of five percent of the price paid by the acquiring person for tax title, and five
16 percent of any amounts paid by the tax debtor who is the owner of and who is
17 residing in the tax sale property for rental or lease payments, and the forfeiture of
18 any right to claim any statutory imposition associated with the property other than
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HB NO. 659
1 the delinquent amount of unpaid ad valorem taxes if the property is redeemed during
2 the redemptive period. The penalty shall accrue from the time the acquiring person
3 took possession of the property until the time the property is redeemed.
4 Furthermore, nothing in this Section shall be construed to limit the rights of a tax
5 debtor who is the owner of and who is residing in the tax sale property to recover
6 rental or lease payments paid to an acquiring person in violation of the provisions of
7 this Section.
8 * * *
9 §2231.1. Prohibition of certain actions; exceptions
10 * * *
11 B. The acquiring person shall not be entitled to or charge any rental or lease
12 payments to the owner or occupants and shall not place any constructions on or make
13 any improvements to the tax sale property during the redemptive period. An
14 acquiring person who violates the provisions of this Section shall be subject to a
15 penalty of five percent of the price paid by the acquiring person for tax title, and five
16 percent of any amounts paid by the tax debtor who is the owner of and who is
17 residing in the tax sale property for rental or lease payments, and the forfeiture of
18 any right to claim any statutory imposition associated with the property other than
19 the delinquent amount of unpaid ad valorem taxes if the property is redeemed during
20 the redemptive period. The penalty shall accrue from the time the acquiring person
21 took possession of the property until the time the property is redeemed.
22 Furthermore, nothing in this Section shall be construed to limit the rights of a tax
23 debtor who is the owner of and who is residing in the tax sale property to recover
24 rental or lease payments paid to an acquiring person in violation of the provisions of
25 this Section.
26 * * *
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HB NO. 659
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 659 Reengrossed 2024 Regular Session Phelps
Abstract: Requires a person acquiring tax sale title to property to forfeit any right to claim
any statutory imposition associated with property acquired through a tax sale other
than the delinquent amount of unpaid taxes if the acquiring person improperly
charges rent or lease payments or improperly evicts a property owner who is residing
in tax sale property during the redemptive period.
Present law (R.S. 47:2121 et seq.) provides the procedures for the payment and collection
of property taxes, including the procedures for the sale of property for the collection of
delinquent ad valorem property taxes.
Present law (R.S. 47:2158) provides that when necessary to comply with an order of a
political subdivision for the purpose of enforcing property standards, upon the presentation
of the order and a certified copy of a tax sale certificate for immovables to a judge, the judge
shall grant ex parte an order of seizure and possession, commanding the sheriff to seize the
property and place the purchaser in actual possession.
Present law authorizes a purchaser to take actual possession without the order with the
consent or acquiescence of the tax debtor or otherwise, provided no force or violence is used.
Present law prohibits a tax debtor who is an owner of and who is residing in the tax sale
property from being subject to any eviction proceeding or a writ of possession pursuant to
present law during the redemptive period.
Present law (R.S. 47:2231) provides that after the tax sale certificate is filed, the political
subdivision may institute a suit in the district court of the parish in which the property is
located to obtain possession of the adjudicated property. Authorizes the suit to be tried by
summary proceeding and with costs of court being paid out of the first revenue received
from the sale of the tax sale property.
Present law (R.S. 47:2231.1) prohibits a tax debtor who is an owner of and who is residing
in the tax sale property adjudicated to a political subdivision from being subject to any
eviction proceeding or suit to obtain possession pursuant to present law during the
redemptive period.
Present law (R.S. 47:2158.1 and 2231.1) prohibits the acquiring person from charging any
rental or lease payments from the owner or occupants and prohibits constructions and
improvements during the redemptive period by the acquiring person to the tax sale property.
Further provides for a penalty for violations of present law payable by an acquiring person
of 5% of the price paid by the acquiring person for tax title and 5% of any amounts paid by
the tax debtor who is the owner of and who is residing in the tax sale property for rental or
lease payments. The penalty shall accrue from the time the acquiring person took possession
of the property until the time the property is redeemed.
Proposed law retains present law but adds a penalty for an acquiring person to forfeit any
right to claim any statutory imposition associated with the property acquired through a tax
sale other than the delinquent amount of unpaid taxes if the acquiring person improperly
charges rent or lease payments or improperly evicts a property owner who is residing in tax
sale property during the redemptive period.
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HB NO. 659
(Amends R.S. 47:2158.1(B) and 2231.1(B))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Ways and Means to the
original bill:
1. Remove the increase in penalties for violations of present law payable by an
acquiring person from 5% of the price paid by the acquiring person for tax title
and 5% of any amounts paid by the tax debtor who is the owner of and who is
residing in the tax sale property for rental or lease payments to 20% of the price
paid by the acquiring person for tax title and 20% of any amounts paid by the tax
debtor who is the owner of and who is residing in the tax sale property for rental
or lease payments.
2. Add a penalty of forfeiture of any right of a person acquiring tax sale title to
claim any statutory imposition associated with property acquired through a tax
sale other than the delinquent amount of unpaid taxes if the acquiring person
improperly charges rent or lease payments or improperly evicts a property owner
who is residing in tax sale property during the redemptive period.
The House Floor Amendments to the engrossed bill:
1. Make technical changes.
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