Redemption of property

1. Law
2. USC 26
3. Internal Revenue Code
4. Procedure and Administration
5. COLLECTION
6. Seizure of Property for Collection of Taxes
7. LEVY
8. Redemption of property

§6337. Redemption of property

(a) Before sale

Any person whose property has been levied upon shall have the right to pay the amount due, together with the expenses of the proceeding, if any, to the Secretary at any time prior to the sale thereof, and upon such payment the Secretary shall restore such property to him, and all further proceedings in connection with the levy on such property shall cease from the time of such payment.

(b) Redemption of real estate after sale

(1) Period

The owners of any real property sold as provided in section 6335, their heirs, executors, or administrators, or any person having any interest therein, or a lien thereon, or any person in their behalf, shall be permitted to redeem the property sold, or any particular tract of such property, at any time within 180 days after the sale thereof.

(2) Price

Such property or tract of property shall be permitted to be redeemed upon payment to the purchaser, or in case he cannot be found in the county in which the property to be redeemed is situated, then to the Secretary, for the use of the purchaser, his heirs, or assigns, the amount paid by such purchaser and interest thereon at the rate of 20 percent per annum.

(c) Record

When any lands sold are redeemed as provided in this section, the Secretary shall cause entry of the fact to be made upon the record mentioned in section 6340, and such entry shall be evidence of such redemption.

(Aug. 16, 1954, ch. 736, 68A Stat. 787 ; Pub. L. 89–719, title I, §104(e), Nov. 2, 1966, 80 Stat. 1137 ; Pub. L. 94–455, title XIX, §1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834 ; Pub. L. 97–248, title III, §349A(a), Sept. 3, 1982, 96 Stat. 639 .)

Amendments

1982-Subsec. (b)(1). Pub. L. 97–248 substituted "180 days" for "120 days".

1976-Pub. L. 94–455 struck out "or his delegate" after "Secretary" wherever appearing.

1966-Subsec. (b)(1). Pub. L. 89–719 substituted "120 days" for "1 year".

Effective Date of 1982 Amendment

Pub. L. 97–248, title III, §349A(b), Sept. 3, 1982, 96 Stat. 639 , provided that: "The amendment made by subsection (a) [amending this section] shall apply with respect to property sold after the date of the enactment of this Act [Sept. 3, 1982]."

Effective Date of 1966 Amendment

Amendment by Pub. L. 89–719 applicable after Nov. 2, 1966, regardless of when title or lien of United States arose or when lien or interest of another person was acquired, with certain exceptions, see section 114(a)–(c) of Pub. L. 89–719, set out as a note under section 6323 of this title.

Download our app to see the most-to-date content.