(1) The department of revenue has every power provided by law to enforce the collection of taxes and license fees due the state by foreclosure of liens against real estate and by execution and sale as for a debt due the state or any taxing division or agency thereof.
Specifically, by way of extension and not of limitation, if any person, firm, or corporation liable to pay any tax for personal property or license fee, all or any portion of which is then due the state, neglects or refuses to pay the same within thirty days after notice and demand therefor to the taxpayer is made in writing by the executive director of the department of revenue or a group, division, or subordinate department head appointed pursuant to this article, it is lawful for the executive director or such group, division, or subordinate department head, to collect the whole of said tax or license fee, together with such interest and other amounts as are required by law, by distraint and sale of the goods, chattels, or effects, including stocks, securities, bank accounts, and evidences of debt of the delinquent taxpayer. Only such property as is exempt from attachment and execution under the laws of this state shall be exempt from distraint and sale under the provisions of this title.
When distraint is made under the power granted in this section, the officer makingsuch distraint shall make or cause to be made an account of the goods, chattels, and effects distrained and shall sign the same in the name of the state of Colorado by authority of the executive director of the department of revenue. A copy of said notice shall be served upon the owner and upon the possessor of any of the distrained property in the same manner as provided by law for the service of summons in judicial actions in the district courts of the state. Said notice shall also specify the total amount of tax, interest, and penalties due, the time and place when the sale thereof shall occur, and the upset or minimum price, if any, at which the distrained property will be sold. A copy of said notice shall likewise be published once in some legal newspaper within the county in which said distraint is made not more than thirty nor less than ten days prior to the date of such sale, and it shall be posted in a conspicuous place in the county courthouse of said county. If there is no legal newspaper published in such county, then the publication of said notice shall not be required.
Every such sale shall be at public auction and shall be held not less than thirty normore than sixty days after service of the notice of distraint, but any such sale may be adjourned from time to time by the officer making the same if the upset or minimum price is not bid or if for any other reason he deems such adjournment advisable; but no such sale shall be adjourned for a longer period than ninety days in all.
In all cases of sale under distraint, the certificate of such sale shall be prima facieevidence of the regularity of the proceedings in making the sale, and said certificate shall transfer to the purchaser all right, title, and interest of the delinquent taxpayer in and to the property sold; and, if any of the property sold consists of stocks, registered bonds, or other certificates of indebtedness, said certificate of such sale shall be authority for the corporation, firm, or association issuing such stock or having outstanding any such registered bonds or certificates of indebtedness and to all transfer agents thereof to record and transfer the same on their books, accounts, and records the same in all respects as if the certificates of stock or registered bonds or certificates of indebtedness had been duly endorsed for transfer by the delinquent taxpayer as owner thereof.
No such distraint and sale shall occur or be valid unless commenced within threeyears from and after the date when such tax or license fee becomes due and payable. Every owner of property thus distrained and sold may redeem the same from such sale after the date when the sale occurred by payment of the amount of such tax, together with interest, penalties, and costs of sale. The executive director of the department of revenue shall collect all taxes due the state on real property in the manner provided by law.
If, at any such sale or any adjournment thereof, the price bid is less than the cost ofsale, the officer making the sale shall bid in the property in the name of the state of Colorado; except that the proportionate share of any political subdivision derived from any such sale shall be remitted to the political subdivision entitled thereto. If the amount bid at any such sale or at any adjournment thereof is less than the amount of the delinquency plus interest, penalties, and costs, if any, the officer making the sale may bid in the property in the name of the state of Colorado if the property tax administrator shall direct him in writing to do so, certifying in such direction that in the opinion of the property tax administrator the price offered is less than the forced sale value of the distrained property offered for sale.
If any person, firm, or corporation liable for the payment of any tax has repeatedlyfailed, neglected, or refused to pay the same within the time specified for such payment and the department of revenue has been required to exercise its enforcement proceedings three or more times through the issuance of a distraint warrant to enforce payment of any such taxes due, then the executive director of the department of revenue is authorized to assess and collect the amount of such taxes due together with all the interest and penalties thereon provided by law and also assess and collect an additional amount equal to fifteen percent of the delinquent taxes, interest, and penalties due or the sum of twenty-five dollars, whichever amount is greater, said additional amount being imposed to compensate the department for administrative and collection costs incurred in collecting such delinquent taxes.
Source: L. 41: p. 73, § 40. CSA: C. 3, § 40. CRS 53: § 3-7-11. C.R.S. 1963: § 3-7-9. L.
64: p. 181, § 1. L. 2000: (2) amended, p. 1634, § 5, effective June 1.