Title Company Didn't Take Out Taxes At Closing..now Want $$$
In Februsary 2004, we closed on an investment property we sold.
9 months later, we got a call from the title company saying, "We're so sorry, we forgot to take out your taxes from when you owned the propety. Can you come down here and write us a check for $1700.?"
I said, "I don't have that kind of money now."
So then she said the title company was going to pay it on our behalf because it was their mistake and because the tax bill was accruing intrest and penalties.
She said they would take small monthly payments.
I called today to make sure they paid it and they said they did, but wouldn't send me proof that it was paid until I sign a document saying I would send monthly payments.
Is there a way I could get the proof any other way??? And could I file these on my taxes even though they paid them for me???
Thanks for any info!
Did you talk with your attorney?
Well you should be able to check with the county on if these were paid, they may even give you when and by whom they were paid.
I would get a statement from the county on the amount of tax that was owed, WITHOUT any interest or penalties and offer to make interest free payments to the title company for that amount only. They should be liable for all interest and penalties for the mistake.
I also would not sign anything with them, until you have verifcation the taxes have been paid. If the county will not give you this information as you don't own it anymore, I would request a copy of the tax statement from the Title Company.
My last step would be to send a certified letter to the title company making the request for documents and if they still refuse, they wouldn't be getting a check from me.
You can easily find out if they have been paid by calling you county assessors office or going on-line. All you should need is the property address.
I am fairly certiain you are obligated to pay the actual tax amount but the title company would be responsible for interest and late charges. As the previous poster mention....call an attorney and see what they say.
I would pay what was owed less penalties and interest, but I'm not sure I'd sign anything saying that debt was mine. What happens when you can't pay it and will it show up when trying to get more credit?
auditor's office will show what taxes are paid and not paid. Can you calculate yourself what you owe?
You have my sympathy, I had the same thing happen on my home. Than to top it off the mortgage folks (Part of a credit union) DIDN"T pay the taxes even after I gave them the cash. The first year I found out that they had dropped the ball when I got a letter from the government asking where the heck my money was and did I want to be foreclosed on. Than the credit union proceeded to not pay my homeowners insurance (which they had taken the money for) and than didn't pay the taxes the second half of the year either. I was on top of things by than though. I reminded them to pay the taxes a month early and as soon as the tax deadline came and went with no payment I parked myself in the main credit union office and until I was allowed to discuss things with the VP in charge of the mortgage division. Got myself a free $30 Shell gas card out of it, eww baby!
The credit union has since messed up just about every where they can, and they don't sell off loans so I waited tell the numbers made sense and refied just to get better service somewhere else.