Each January 1, taxing jurisdictions obtain a property right known as a tax lien. This lien attaches to each piece of taxable property in the jurisdiction. This lien gives the unit the right to ask the court to order the sheriff to sell the property if the taxes become delinquent. If taxes are not paid prior to the delinquency date, additional charges begin to accrue. A delinquent tax accumulates penalty and interest.
Interest accrues at one-percent per month.
In addition to penalty and interest charges, a taxing jurisdiction may charge up to 15-percent of taxes, penalty and interest to cover collection costs if it hires a private collection attorney. Setting the Tax Rates Once the appraisal review board approves the appraisal records, the chief appraiser prepares and certifies an appraisal roll for each taxing unit. An appraisal roll lists the taxable property within the boundaries of the taxing unit. In September or October of each year, the governing body of each taxing unit adopts a tax rate which, when applied to the total taxable value of all property which is taxable by that unit, produces a tax levy sufficient to meet the unit's budgeted revenue needs.