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National Tax Lien Association (NTLA), Other Associations File U.S. Supreme Court Amicus Brief

National Tax Lien Association (NTLA), Other Associations File U.S. Supreme Court Amicus Brief

APRIL 23, 2023 

National Tax Lien Association (NTLA) File U.S. Supreme Court Amicus Brief in Tyler v. Hennepin County for
Supporting State's Rights on Property Tax Collection Method

– Apr. 23, 2023 – NTLA Executive Director Bradley Westover announced the NTLA filed a U.S. Supreme Court amicus (friend-of-the-court) brief in Tyler v. Hennepin County. Joined by the Arizona County Treasurers Association and the Tax Collectors & Treasurers Association of New Jersey, the NTLA argued against a Court-instituted national tax collection mechanism. Law firm Nelson Mullins Riley & Scarborough LLP of Columbia, South Carolina, authored and filed the brief on March 31, 2023.

The case arises from a condo forfeited to Hennepin County, Minnesota after the property owner failed to pay taxes over roughly five years. Despite numerous pre-sale notices, the delinquent taxpayer and her lienholders declined to redeem the property, necessitating the tax lien foreclosure as a remedy of last resort.

The U.S. Supreme Court will decide whether local tax collection efforts are a governmental “taking” under the Fifth Amendment and whether the petitioner’s loss of her property constitutes an “excessive fine” under the Eighth Amendment.

The petitioner urged the court to ignore years of precedent and instead adopt a nationwide standard for tax collection by local government entities.

Westover countered “a one-size fits all, Federal tax collection and enforcement solution makes little sense. Imagine treating Lost Springs, Wyoming with a population of one and New York City with a population of 7.8 million the same.”

The amicus brief explained a broad ruling would hinder constitutional tax collection efforts in other states uninvolved in the case. It is the position of the NTLA that states are in the best position to make informed decisions about how to balance collecting taxes against property rights, and that the Supreme Court should defer to those local policy determinations.

“The NTLA does not want to see any delinquent taxpayer lose their property to tax foreclosure,” added Westover. “We support the many safeguards put in place by the states—safeguards similar to those used in the five-year collection process in Hennepin County—to help taxpayers avoid tax sales and forfeitures, while also protecting their due process rights.”

In 2017, the NTLA established a 501c3 non-profit foundation to help preserve homeownership for elderly, disabled citizens, and military veterans who qualify for hardship assistance. The NTLA Foundation is the only safety net of its kind in the U.S.—governments, members of the National Tax Lien Association, and owner occupants are allowed to submit one (1) application per year for consideration.

About the National Tax Lien Association (NTLA)
The NTLA was founded 1997 as the non-profit professional trade organization for the tax sale industry. The NTLA represents the interest of investors, lenders, service providers, taxpayers, and government officials with regard to tax lien sales, and promotes the benefit of those sales as fair, reliable income for municipal, county, and state budgets. The NTLA provides networking and education including credentialing to become a Certified Tax Lien Professional, CTLP®, the only designation of its kind in the industry.

Additional Info

Source : National Tax Lien Association

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