10% Penalty Upheld for California Property Tax Payment Delinquent by 2 Days

Professional office (PO) providing tax payment services was delinquent by 2 days in making real property tax payments of $5.5 Million. The County refused to accept payment and imposed a 10% penalty under R&TC 4985.2. PO sued and trial court granted relief. Appellate court reversed holding (1) PO’s mailing the payment to the wrong address is not “reasonable cause and circumstances beyond the person’s control” under 4985.2(a), and (2) trial court does not have power to provide general equitable relief.
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I am a litigation lawyer, licensed to practice law in the State of California. You can reach me by phone at (310) 286-2000.